Esma backtracks on account segregation

Status quo protected for rehypothecation of collateral in tri-party, securities lending and prime brokerage

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Esma opts for minimum EU-wide account segregation requirements

The European Securities and Markets Authority (Esma) has backtracked on stricter rules for depositories that some critics had said would choke tri-party repo markets and prime brokerage.

As predicted in a Risk.net article last year, the European Securities and Markets Authority (Esma) has opted for minimum European Union-wide account segregation requirements under the Alternative Investment Fund Managers Directive (AIFMD) and Ucits V.

The move is opposed by France’s buy side in particular, but

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