Single bank default could affect multiple CCPs, leading to crippling default contribution for existing members and a chain of bank failures
Initial margin requirements could increase liquidity strain on firms in smaller markets
More Clearing articles
Planned one-basis-point charge will be levied multiple times in cleared trades – and could “kill the market”
The large number of trade repositories planned globally will reduce the quality of data, panellists warn
Many derivatives users in Asia expect to clear through local CCPs, creating the potential for liquidity fragmentation and higher costs
Europe and the US are at loggerheads over the territorial scope of new derivatives rules – as evidenced by a new financial stability review from the Banque de France – but agreement can be reach...
Some client trades have not been cleared within 60 seconds
Clearing house has been told its own rules prevent it from shelving buy-side clearing for single-name CDS contracts
Two firms now testing central credit-checking service
The days either side of the first US clearing deadline saw last-minute decisions by clients and regulators, operational niggles and some illegality. The industry expects breaches of the rules to get...
Firms that trade index and single-name CDSs will see margin requirements increase
Lack of clarity on CCP equivalency leaves South African rules in limbo, says National Treasury's Natalie Labuschagne
While the Group of 20 nations want to see progress with financial regulatory reforms, individual authorities around the world are reluctant to relinquish domestic sovereignty over standards for cent...
Stop-gap margin solution would force most firms to post twice as much collateral as CCP members
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