Week InReview

A few takeaways from the inaugural gathering of the World Economic Forum's newly formed Network of the Global Future Councils - more than 700 though leaders from business, government, civil society, and academia - in Dubai this week to set the agenda for the WEF's annual meeting  to be held Jan 17-20, 2017 in Davos-Klosters, Switzerland.

"No question, whether you look at Brexit or the US, what we've seen is a wholesale rejection of the elite, of people, power, influence and institutions. Institutions failed people during the financial crisis, people have seen almost every single institution fail to deliver, and they're going through the most profound change in industrial history. Having people buy into the process that creates their destiny is critical. A coalition of old folks in the establishment won't cut it."
− Suzanne Nora Johnson, Vice-Chair, Brookings Institution

"The problem that we have is not globalization. The problem is a lack of global governance, a lack of means to address global issues."
− Klaus Schwab, Founder and Executive Chairman, World Economic Forum

"The future is owned by those who imagine, design and implement it."
− Mohammad Al Gergawi, Minister of Cabinet Affairs and the Future of the United Arab Emirates
Friday, November 18, 2016
Let's recap
In case you missed it . . .
CFTC data show five largest clearing houses demanded extra money to cover volatility (Nov 16)

U.S. firms are cutting jobs in 2016 at slowest pace in decade; d ismissals across the financial industry dropped to about 1,940 per month this year through October  (Nov 15)

Delinquency rates climb on debt, pointing to downturn in $11 trillion market (Nov 15)  

Smaller players retreat while big banks continue to issue the securities (Nov 15)

The agency is seeking to regulate financial technology firms moving into traditional lending, payment processing and capital formation (Nov 14)
FSB Plenary agrees on 2017 workplan
Approves 2016 list of G-SIBs and G-SIIs
(Nov 17) The Financial Stability Board  Plenary met to discuss emerging vulnerabilities, implementation and effects of reforms, market-based finance, CCP resolution, G-SIFIs, climate risk disclosure, correspondent banking, misconduct and FinTech. The Plenary approved the 2016 lists of identified global systemically important banks (G-SIBs) and insurance companies (G-SIIs), which will be released publicly next Monday. U.S. members of the Plenary include Nathan Sheets, Undersecretary for International Affairs, Department of the Treasury; Daniel K Tarullo, Governor, Board of Governors of the Federal Reserve System; Mary Jo White, Chair, Securities and Exchange Commission; and Chairman of the Bank for International Settlements' Committee on the Global Financial System (CGFS)  William C. Dudley, President, Federal Reserve Bank of New York. 
Big hedge funds' leverage
Merits ongoing scrutiny: FSOC
(Nov 16)  Regulators flagged risks of high leverage at the biggest hedge funds in an update to an April statement to the Financial Stability Oversignt Council. FSOC had assigned a group to study debt  levels at top funds; Deputy Assistant Secretary of the Treasury Jonah Crane reported to council that concerns warrant a further look.  Forced sales at hedge funds could disrupt trading in key markets, according to remarks that represent the views of various U.S. agencies. "Significant losses at these funds could transmit stress to their counterparties under extreme but plausible market moves," Crane said.  Regulators need changes to data the industry reports to get better view of risks; group expects "significant engagement with stakeholders" and recommended "continued monitoring."
Massive stock data trove
SEC approves plan... at long last
(Nov 15) The Securities and Exchange Commission approved a  plan to build a repository of stock trades to help regulators quickly get to the bottom of why markets crash. The p lan to create a "single, comprehensive" database known as the consolidated audit trail, or CAT, will "enable regulators to more efficiently and thoroughly track all trading activity in the U.S. equity and options markets," the agency said.  Now stock exchanges must decide which company will win contract to build data trove.  Finalists include a team featuring Google parent Alphabet and another with Amazon.
Binge reading disorder
Hand-curated, chosen with love
Titanpointe: the NSA's spy hub, hidden in plain sight
They called it Project X, an unusually audacious, highly sensitive assignment: to build a massive skyscraper, capable of withstanding an atomic blast in the middle of New York City

One-percent jokes and plutocrats in drag
What I saw when I crashed a Wall Street secret society

Here's a Chrome extension that will flag fake-news sites
As we enter a fraught period of American life, it's important to make sure you can at least avoid being snookered by hoax, satire, fake, and just plain incompetent news sites

Teaching an algorithm to understand right and wrong
Aristotle said that "all knowledge and every pursuit aims at some good," but then continues, "What then do we mean by the good?"

Big money, big questions at remote casino
Far-flung gambling operation advised by former FBI and CIA chiefs posts huge revenues, and its flows of cash have drawn the attention of the U.S. Treasury
Transparency.
Inclusiveness.
Consensus.