Financial industry associations including FOA and FIA and a group of exchanges have written a letter to the Financial Times calling for the International Organisation of Securities Commissions (IOSCO) to take forward the dialogue on mutual regulatory recognition.
"The time has come to energise the dialogue on mutual regulatory recognition for regulating crossborder business between countries with common regulatory approaches. While there has been active global engagement in implementing the G20 objectives to deliver greater stability to the financial system, its objective to 'reject protectionism and not turn inward' is being progressively undermined by regulatory extraterritoriality and the differentiated national implementation of global standards. The result is greater customer confusion; growing compliance complexity and legal risk; reduced investor choice; and conflict with the public policy objective of fast-tracking post-crisis economic and business recovery. We believe that IOSCO is best placed to take forward the dialogue on mutual regulatory recognition," the groups say in the letter.
