Week of January 5 - 11, 2026

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🗓️ January 5, 2026

• ESAs’ Joint Board of Appeal rules on reimbursement of costs in an appeal brought by NOVIS Insurance Company against the European Insurance and Occupational Pensions Authority (EIOPA). The Joint Board of Appeal of the European Supervisory Authorities issued a decision on 03 December 2025 regarding the costs arising from NOVIS Insurance Company’s appeal against EIOPA. The Board confirmed its competence to decide on the allocation and taxation of costs, clarifying that only objectively necessary and reasonable costs may be reimbursed, and ruled on the total amount to be reimbursed by EIOPA. 🔗 Read more
• ESMA launches selection of Consolidated Tape Provider for OTC derivatives. The European Securities and Markets Authority (ESMA) is initiating the first selection procedure for the Consolidated Tape Provider (CTP) for over the counter (OTC) derivatives, with applications due by 11 February 2026. The CTP will enhance market transparency and efficiency by consolidating post-trade data into a single electronic stream, aiding market participants in making better-informed decisions. The contract notice and procurement documents are available on the EU Funding & Tenders Portal. 🔗 Read more

🗓️ January 6, 2026

• Federal Reserve Board issues enforcement action with former employee of Regions Bank. The Federal Reserve Board announced an enforcement action against Jason Lovell, a former employee of Regions Bank in Birmingham, Alabama, for the misappropriation of customer funds. 🔗 Read more
• SEC Charges Three Brothers with Allegedly Manipulating Two Pharma Company Stocks and Carrying Out a $41 Million Insider Trading Scheme with Three Friends. The Securities and Exchange Commission charged Muhammad Saad Shoukat, Muhammad Arham Shoukat, and Muhammad Shahwaiz Shoukat, along with three friends, with two market manipulation schemes and a $41 million insider trading scheme. The Shoukat brothers allegedly manipulated Olema Pharmaceuticals and Opiant Pharmaceuticals stocks by impersonating physicians and issuing false press releases, while the insider trading scheme involved material nonpublic information about corporate acquisitions. The SEC’s complaint, filed in the U.S. District Court for the District of New Jersey, seeks various penalties and injunctions, and a parallel criminal action has been announced by the U.S. Attorney’s Office for the District of New Jersey. 🔗 Read more
• SEC Obtains Final Judgment as to Private Equity Firm and Managing Partner in Alleged Offering Fraud. The U.S. District Court for the Northern District of California issued a final judgment against Bernardo Mendia-Alcaraz, his firm Toltec Capital LLC, and two relief defendants for fraud charges related to raising approximately $3.3 million from investors through false statements. The judgment permanently enjoins Mendia-Alcaraz and Toltec Capital from violating several securities laws and holds them liable for disgorgement and a civil penalty, with the relief defendants also held liable for disgorgement and interest. The SEC’s litigation and investigation were led by Daniel Ball and others under the supervision of David Nasse, Melissa A. Robertson, and Pei Y. Chung. 🔗 Read more
• FINRA Announces Appointment of Four New Board Governors. FINRA announced the appointment of four new Governors to its Board: Rostin “Russ” Behnam, Tim Carter, Dan Gallagher, and Heather Traeger, who bring extensive experience in financial services and regulation. These appointments aim to strengthen FINRA’s Board by providing strategic oversight and guidance in an evolving financial landscape, with each Governor bringing unique insights to enhance the organization’s mission of protecting investors and ensuring market integrity. 🔗 Read more
• ESMA publishes report on cross-border marking of funds including statistics on notifications. The European Securities and Markets Authority (ESMA) has released its third report on marketing requirements and communications under the Regulation on cross-border distribution of funds, including statistics on cross-border marketing notifications for the first time. The report, based on input from National Competent Authorities, reveals that national rules have not changed significantly since 2023, with Luxembourg and Ireland leading in notifications, accounting for 59% and 30% respectively. UCITS notifications make up 56% of the total, while AIFs account for 44%. 🔗 Read more

🗓️ January 7, 2026

• SEC Proposes Amendments to the Small Entity Definitions for Investment Companies and Investment Advisers for Purposes of the Regulatory Flexibility Act. The Securities and Exchange Commission proposed amendments to the rules defining small entities under the Regulatory Flexibility Act, aiming to raise asset-based thresholds for investment companies and advisers. This change seeks to better address the regulatory challenges faced by small entities and adapt rulemaking to minimize economic impacts. The proposal includes updates on asset aggregation and inflation adjustments every 10 years, with a public comment period following its publication in the Federal Register. 🔗 Read more

🗓️ January 8, 2026

• Federal Reserve Board announces approval of application by Prosperity Bancshares, Inc. The Federal Reserve Board on Thursday announced its approval of the application by Prosperity Bancshares, Inc., located in Houston, Texas, to acquire Southwest Bancshares, Inc., and thereby indirectly acquire Texas Partners Bank, both of San Antonio, Texas. 🔗 Read more
• Federal Reserve Financial Services to take new actions to support penny circulation. Federal Reserve Financial Services announced that starting January 14, they will resume accepting pennies from banks and credit unions at commercial coin distribution locations. This action aims to support penny circulation for commercial activity, although local inventory constraints had previously limited such deposits. The Federal Reserve will monitor penny deposit flows to assess the feasibility of expanding ordering options, as penny production has ended. 🔗 Read more
• SEC Publishes Staff Report on Capital-Raising Dynamics. Washington D.C. - The Securities and Exchange Commission’s Office of the Advocate for Small Business Capital Formation published its 2025 staff report, providing a comprehensive analysis of capital-raising dynamics across three company lifecycle stages. The report includes data on small and emerging businesses, mature and later-stage businesses, initial public offerings, and small public companies, as well as highlights of the office’s outreach and public engagements during fiscal year 2025. It also summarizes the activities of the SEC’s Small Business Capital Formation Advisory Committee and notes the office’s efforts to enhance educational resources for small businesses and their investors. 🔗 Read more
• CFTC Staff Issues No-Action Letter Regarding Event Contracts. Washington - The Commodity Futures Trading Commission’s Division of Market Oversight and the Division of Clearing and Risk have taken a no-action position regarding swap data reporting and recordkeeping regulations for certain binary and bounded swap contracts. This decision was made in response to a request from Bitnomial Exchange, LLC, and Bitnomial Clearinghouse, LLC, and means the divisions will not recommend enforcement action against these entities for non-compliance with specific swap-related requirements. The no-action letter is limited to specific circumstances and is similar to those issued for other designated contract markets and derivatives clearing organizations. 🔗 Read more
• The EBA publishes its final draft technical standards to strengthen supervisory cooperation for third-country branches. The European Banking Authority (EBA) has published its final draft Regulatory Technical Standards (RTS) on cooperation and colleges of supervisors for third-country branches, aiming to enhance collaboration and information exchange among competent authorities in the EU. These standards focus on establishing colleges of supervisors for class 1 third-country branches and outline cooperation methods for other branches, incorporating the principle of proportionality and providing practical arrangements for comprehensive supervision. 🔗 Read more
• ESAs publish joint Guidelines on ESG stress testing. The European Supervisory Authorities (EBA, EIOPA, and ESMA) have published Joint Guidelines on environmental, social, and governance (ESG) stress testing to help national insurance and banking supervisors integrate ESG risks into supervisory stress tests. These Guidelines establish common standards for embedding ESG risks into stress testing methodologies across the EU’s financial system, supporting a consistent, long-term approach while allowing flexibility for future advancements. They do not introduce new requirements for ESG-focused supervisory stress tests. 🔗 Read more
• ECB Consumer Expectations Survey results - November 2025. In November, median consumer perceptions of inflation over the previous 12 months remained unchanged at 3.1% for the tenth consecutive month, with expectations for inflation over the next 12 months, three years ahead, and five years ahead also staying at 2.8%, 2.5%, and 2.2%, respectively. Expectations for nominal income growth over the next 12 months were stable at 1.2%, but expectations for spending growth decreased to 3.4%. Economic growth expectations became more negative at -1.3%, while the expected unemployment rate decreased to 10.9%. Expectations for home price growth declined to 3.4%, and mortgage interest rate expectations dropped to 4.6%. Lower-income households generally reported higher inflation perceptions, spending growth expectations, and mortgage interest rates compared to higher-income households. 🔗 Read more

🗓️ January 9, 2026

• Federal Reserve Board announces the designation of the Chairs and Deputy Chairs of the 12 Federal Reserve Banks for 2026. The Federal Reserve Board announced the designation of the chairs and deputy chairs of the 12 Federal Reserve Banks for 2026. Each Reserve Bank’s nine-member board includes three directors appointed by the Board of Governors in Washington, with one designated as chair and another as deputy chair annually. The new chairs and deputy chairs for 2026 include Lizanne Kindler and Tim Sweeney for Boston, Pat Wang and Rajiv J. Shah for New York, and William Lo and Kisha Hortman Hawthorne for Philadelphia, among others. 🔗 Read more
• SEC to Host Hybrid Event on Regulation S-P for Small Firms. Washington D.C. - The Securities and Exchange Commission announced its third and final outreach event to assist small firms in complying with amendments to Regulation S-P, scheduled for January 22, 2026. The event, available in-person or virtually, will cover new compliance obligations, exam team interactions, and include a workshop with an Incident Response discussion and mock examination. Registration is required for in-person attendance, and a link to watch the event will be available on the SEC website. 🔗 Read more
• SEC Announces Dismissal of Civil Enforcement Action Against Former Rio Tinto Executive Guy Elliott. The Securities and Exchange Commission today filed a joint stipulation with Guy Elliott to dismiss, with prejudice, the Commission’s civil enforcement action against him. The Commission’s decision to exercise its discretion and dismiss the pending enforcement action is based on the specific facts and circumstances of this case and, as stated in the joint stipulation, “does not necessarily reflect the Commission’s position on any other case”. 🔗 Read more
• The EBA publishes final draft technical standards on booking arrangements. The European Banking Authority (EBA) has published its final Regulatory Technical Standards (RTS) for booking arrangements by third-country branches under the Capital Requirements Directive (CRD). These standards aim to provide clarity and harmonization in implementation and registry book maintenance, supporting consistent supervisory practices across the EU. The RTS cover three core areas: bookkeeping methodology, minimum required content, and risk-related information. 🔗 Read more
• The EBA publishes a Report on prudential consolidation and final Guidelines on ancillary services undertakings. The European Banking Authority (EBA) released a Report on prudential consolidation and final Guidelines on ancillary services undertakings (ASU) under the Capital Requirements Regulation (CRR). These publications aim to enhance the efficiency and proportionality of the prudential consolidation framework, promote a level playing field, and foster convergence of supervisory practices across the EU. The Report provides recommendations to support the European Commission in legislative adjustments and clarifies implementation challenges identified in EBA investigations. The Guidelines establish criteria for identifying ancillary services undertakings, addressing both traditional and innovative business models, to ensure consistent application of prudential requirements. 🔗 Read more
• Principles for risk-based supervision: a critical pillar for ESMA’s simplification and burden reduction efforts. The European Securities and Markets Authority (ESMA) has published its principles for risk-based supervision to support a common and effective EU-wide supervisory culture and strengthen the EU single market. These principles provide a structured framework for identifying, assessing, prioritizing, and addressing risks, ensuring a consistent, proportionate, and effective supervisory framework across the Union. Risk-based supervision is central to EU securities markets supervision, focusing on risks that threaten investor protection, financial stability, and orderly markets, and is part of ESMA’s efforts to simplify and reduce regulatory burdens. 🔗 Read more