The leader of the global monetary cycle will profoundly shape investor sentiment towards emerging market assets – with Janet Yellen seen as a dovish boost for markets – given the structural link between US policy rates and foreign ownership of the local government debt stock. But the master-slave relationship of yesteryear is over.

European companies building infrastructure should consider bonds at the very start of a project for the money they need. Bond markets are rapidly becoming the best place to turn as Basel III regulations force banks to lend less and for shorter periods. Bert Schoen, Head of CEEMEA Structured Finance and Bruce Riley, Managing Director, Secured Debt Markets, at RBS, explain.

China’s decision to remove the floor on bank lending rates is meaningful because it paves the way for further interest rate reforms that in time could increase competition in the banking sector, usher in more flexible exchange rates and open the capital account.

As tapering edges closer in the US, attention is turning to how the Fed might deploy its policy arsenal to engineer a rise in interest rates in an orderly fashion, with reverse repo operations on the agenda, say analysts.

Five years on from the financial crisis, high-frequency trading remains under an intense spotlight, with regulators on both sides of the Atlantic determined to crack down on alleged manipulation of markets, triggering an inevitable backlash from market players that claim illiquidity, price distortions and regulatory arbitrage will come to the fore if regulators make good on draconian threats.

Hedge funds that use sophisticated computer systems rather than human judgement to make investment decisions have had a rather torrid summer. An abrupt sell-off across equities, bonds and commodities after official comments that the Fed would look to taper down the asset purchases saw many automated strategies post negative returns.

Despite the strides China is making in the development of its $2.7 trillion government bond market, it remains structurally inefficient, thanks to meagre trading volume in an asset class strangled by the country’s fixed interest rate regime. Calls are growing for greater efforts to develop the government and corporate bond market structure in a bid to boost the efficiency of savings and non-bank financing.

US regulators are dedicating increasing levels of scrutiny to the physical commodities interests of investment banks just as a law allowing Wall Street banks to maintain a presence in the product area comes up for review.

China is on the cusp of a new boom, according to leading academic and advisor to the Communist government.

Insurers are lagging other financial institutions in preparing for the central clearing of derivatives and the knock-on impacts for investment strategy and risk management. Ian Cooper, Head of UK Insurance and Pension Sales, and Emily Penn, Director ALM Advisory at RBS, explain.