MSCI has reportedly approached Barclays to buy its index business, according to news reports. The move, which could see MSCI build out its fixed-income offering and mean a potential windfall for Barclays, comes ahead of pending regulation in the form of Basel III and CRD IV.
These new rules will introduce tougher capital and liquidity requirements for banks and come in the wake of the Libor and Euribor scandal last year. In particular, it means banks will have to set aside more capital on their balance sheets.
Following the Libor-rigging scandal, regulators hit Barclays with record fines. The bank offers thousands of benchmarks, many of which are customized for clients, and has carved out a niche in the fixed-income sector.
At a recent panel, Alain Dubois, managing director and head of new business and product development at MSCI, declined to comment on the matter. Barclays also declined to comment.