Reuters writes "Regulators unveil first global rules on shadow banking". It says, "The Financial Stability Board (FSB), the regulatory task force for the world's top 20 economies (G20), has published the first set of global standards for the $60 trillion "shadow banking" sector. The FSB said that the 2007-09 financial crisis revealed "fault lines" in the lightly regulated sector, which includes money market funds, repurchase markets and hedge funds." The standards include, "Proposals for minimum standards for calculating discounts, known as "haircuts", on collateral for securities lending and repo market participants." On "Money Market Funds," Reuters says, "European Union and United States already moving ahead with reform, representing the bulk of the world's MMF sector. These reforms to be reviewed by global regulators." See the FSB's press release, "FSB publishes policy recommendations to strengthen oversight and regulation of shadow banking" here.

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