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Bilateral investment treaties could be the weapon of choice for foreign investors holding Greek sovereign bonds

How a recent initiative by the Covered Bond Investor Council is helping Europe make informed investment decisions

The extension of grandfathering periods under the US Fatca, will help overcome a deadlock that has plagued loan negotiations between foreign financial institutions

Bankability issues could prove an important challenge to the Colombian government’s PPP push

The LMA’s revised intercreditor agreement has only gone so far in addressing mezzanine creditor concerns. Here’s how to negotiate around the shortfalls

Chinonyelum Uwazie The regulation of market abuse has for many years been the subject of discussions among financial market participants and scholars. It dominated discussions before the recent global financial crisis (see, for instance, Avgouleas, The Mechanics and Regulation of Market Abuse: A Legal and Economic Analysis Regulation, Oxford University Press, 2005), and the crisis has done nothing but heighten the discussions since then. Market abuse is generally perceived as a serious offence that damages investor confidence and the integrity of financial markets. This has caused scholars to argue that the rationale for controlling market abuse is the maintenance of investor confidence among others (RCH Alexander, Insider Dealing and Money Laundering in the EU, Ashgate, 2007). Rider, Alexander and Linklater note that integral to the efficient operation of any market is the maintenance of confidence in the integrity of its functions. (BAK Rider, C Abrams and TM Ashe, Financial Services Regulation CCH Editions 1997, cited in Alexander, Ashgate, 2007).

Daniel Futej Daniel Grigel An amendment to the Slovak Insolvency Code came into effect on January 1 2012 though important provisions newly regulating the responsibility of statutory bodies and other persons will not become effective until January 1 2013. The key legislative changes concern the test of over-indebtedness and the liability of the directors of insolvent companies There are two insolvency tests: financial liquidity test (the ability of the company to comply with its due debts) and test of over-indebtedness (the ratio of the company's total assets to its total debts – until the amendment it related to overdue debts). The over-indebtedness test will be assessed taking into consideration the debtor's future (expected) economic results. Subordinated and similar debts will be excluded from calculation of a debtor's financial situation. In both instances, for a company to become insolvent it is required to prove that it has more than one creditor – in the case of the financial liquidity test, with more than 30 days overdue debts.

On September 20 2012, the Government of India issued several press notes liberalising foreign direct investment norms in sectors such as aviation and multi-brand retail (MBR). The government thus allowed foreign investors to hold up to 51% of the share capital in Indian companies operating in the MBR sector, and allowed foreign airlines to hold 49% in companies operating scheduled and non-scheduled air transport services. Before this liberalisation, foreign direct investment was prohibited in MBR, and foreign airlines were prohibited from investing in air transport services (though foreign entities other than airlines could make investments in this sector).

Jane Sim Serene Sia Through a press release on October 3 2012, Singapore's Ministry of Finance (MOF) confirmed that it has completed its review of the Companies Act. Following the public consultation carried out in 2011, the MOF has accepted 192 and modified 17 recommendations of the Steering Committee. This is the largest number of changes to the Act since it was enacted in 1967. The wide ranging changes are aimed at maintaining Singapore's competitiveness as a business hub, reduce regulatory burden and compliance costs for companies, provide greater flexibility for companies, and to improve the country's corporate governance landscape. Most importantly, it will bring benefits to various stakeholder groups such as companies, small and medium-sized enterprises (SMEs), retail investors and company directors. Following are some of the noteworthy changes:

Jaime de la Torre Viscasillas On August 31 2012, the Spanish government approved Royal Decree-Law 24/2012 on the restructuring and resolution of credit entities, which implements its commitments assumed in the Memorandum of Understanding agreed with Eurogroup on July 2011 and the proposal for a Directive establishing a framework for the recovery and resolution of credit institutions and investment firms that is being discussed at the EU Parliament. Within the next three months, the Fund for Orderly Bank Restructuring (FROB) will incorporate an asset management company named Sociedad de Gestión de Activos Procedentes de la Reestructuración Bancaria, which will be owned by the FROB, and financial entities (public participation must be less than 50%). The purpose of this company will be the tenancy, management, acquisition and transfer of troubled assets, and it will be authorised to issue obligations or other debt instruments (with no limits on the amounts).