Finance 2014

The risk of OTC derivatives Chiara Oldani writes that the global regulatory framework has not yet intervened on the trading of Over-The-Counter (OTC) derivatives by non-financial operators, and that this constitutes a source of systemic risk Closing in on beyond GDP Jana Stöver writes on how to get a more accurate understanding of what could be embodied in the concept beyond GDP The light shines on trade finance Trade finance is a technique worth supporting, John Danilovich finds Financing global trade: opportunities and challenges on the horizon Matthew Ekberg says more needs to be done collaboratively between the public and private sector to remove any barriers to this important real economy driver of growth The global financial cycle and macro-prudential policies How can the ECB coordinate its policies better with the FED and other major central banks, for the sake of mitigating boom and bust dynamics in the global economy, has to be given more clear answers, Daniel Dăianu asks No need to change the eurozone Stability and Growth Pact Stefano Micossi and Fabrizia Peirce find that existing rules are fully capable of meeting cyclical oscillations of the economy or to finance to accommodate the short-term costs of structural reforms undertaken to strengthen debt sustainability in the medium-term Sukuk: an international asset class Sukuk is increasingly attractive to both issuers and institutional investors in Europe, Asia and the MENA region, Sohail Jaffer writes The EU and the City of London Robert Oulds says EU regulators threaten the UK’s position as a world leader in international business services Turning innovation into assets Mediolanum Asset Management Limited (MAML) has been awarded the World Commerce Review Most Innovative Asset Manager in Ireland 2014 Can trade credit insurance help your business become more successful? The advantages of trading with trade credit insurance are multiple, and ultimately lead to successful trading, Christine Gerryn asserts The euro and European geopolitics Daniel Dăianu examines the political dimension of the single currency area as well as its geopolitical relevance The ECB’s new policy package: a step in the right direction for intra-eurozone rebalancing Domenico Lombardi and Samantha St Amand analyze the impact of low inflation on debt dynamics and the adjustment of real unit labour costs in the eurozone countries under stress The OTC derivatives markets after financial reforms Cosmina Amariei and Diego Valiante provide a snapshot of the current status of the global OTC derivatives markets Islamic finance in Europe: unfulfilled potential An important landmark is due to be passed later this year with the establishment of the first fully-fledged Islamic bank headquartered in the eurozone, writes Sohail Jaffer Deepening financial reforms in China It is clear that the government is determined to increase market competition, reduce the monopoly power of the state sector, and restrain government intervention in the financial market, finds Dan Luo Currency wars Ben Southwood argues that there are no such things as currency wars, and that devaluations are not competitive The benefits of a good international collections agency A good international collections agency can turn a difficult situation with little chance of recovery into a seamless process with a much better potential outcome, writes Raymond van der Loos A European Glass-Steagall to preserve the single market Karel Lannoo argues for a structural separation in banking in an old-fashioned, rules-based approach Taming financial markets is a must for achieving stability Daniel Dăianu outlines why the Bretton Woods spirit and logic need to be rediscovered Better profits without increased sales or lower costs Christine Gerryn says that all companies should compare the cost effectiveness of credit insurance with other methods of managing credit exposure Regulatory recognition: facilitating growth Anthony Belchambers writes that a significant increase in cross-border trade in financial services is heavily dependent on the removal of unnecessary trade barriers Stable monetary policy is the only means to a stable economy Markets are great at finding prices and allocating resources in ways that make the individuals in society better off says Ben Southwood Emergence of bancatakaful worldwide The most rapidly expanding sector of the worldwide bancassurance industry – distributing insurance products via banks – is bancatakaful, explains Sohail Jaffer Making central banks serve the real economy Suleika Reiners says central banks should use their ability to create new money and channel it to meaningful investments What kind of fiscal union? The sovereign debt crisis in Europe brought back a debate on the lacking components of European integration. Marek Dąbrowski discusses The EU’s economic policy architecture after the ratification of the Fiscal Treaty Jørgen Mortensen writes that the Treaty does not offer a definitive solution to the problem of finding the appropriate budgetary monetary mix
Takaful: strong growth perspectives in Europe The maturity of the insurance industry in Europe could make the expansion of takaful more dramatic, writes Sohail Jaffer Sukuk: from a niche instrument to a global financial alternative Sohail Jaffer writes that sukuk is evolving from a niche instrument to a widely recognized investment alternative with global acceptance
M&A - laying down the law Robin Johnson highlights some key observations concerning the role, influence and impact of legal teams when it comes to identifying potential issues, helping deals run smoothly and, ultimately, realising the full value of a proposed transaction Shariah compliant wealth management: on the right track The growing importance of ethics within the investment industry and its convergence with the principles of shariah-compliant finance is increasing the acceptance of the alternative financial segment in secular markets, writes Sohail Jaffer Is ‘internal devaluation’ the right approach for the eurozone? Raoul Ruparel writes that the eurozone will also have to find ways to tackle issues such as a one-size-fits-all monetary policy, ailing banking sector and the lack of political and fiscal cohesion Fiscal discipline in the monetary union For the euro to survive, the recession must be halted without piling on more debt, argues Charles Wyplosz Takaful in the GCC: sustaining the growth momentum GCC takaful market companies have attractive cross-border growth opportunities in Africa, Europe and in Asia, writes Sohail Jaffer Communicating value in the 21st century Investors increasingly want to know the longevity and sustainability of the businesses they invest in, writes Jane Diplock Sustainability reporting for a sustainable future Companies play a vital role in the transition to a sustainable global economy. Changes in the way companies report their performance and impacts will have a big effect on the future economy, says Marjolein Baghuis Integrated reporting and the supply chain Mike Reid writes that Integrated reporting is by no means a panacea for the malevolent behaviour of companies; instead it takes a focused approach to providing financial and non-financial information to a broader audience of stakeholders Whatever a society can do, it can also finance: financing sustainable development Sulieka Reiners and Matthias Kroll argue that the world is still on an unsustainable path and that the main reason for this is not a lack of political will as such but rather unused possibilities of finance The eurozone crisis: what the Treaty does not say Dealing with economies menaced by default is the most visible piece in the crisis management exercise in Europe, says Daniel Dăianu Giving the City a voice on regulation Michael Wainwright says that there is a general view that the current uncertain and challenging international regulatory landscape is creating a problematic working environment for the City