Asia clearing mandates to go live before European and US regulators approve CCPs

Banks face dilemma over whether to join a number of Asia clearing houses

keith-noyes
Keith Noyes

Crunch time for clearing has finally arrived – China, India and South Korea will all implement mandatory clearing requirements in the near future, while US and European regulatory issues around third-country central counterparty (CCP) recognition remain unresolved. (It should be noted that Japan and other Asian jurisdictions have not worked out standard procedures for recognition either.) As a result, global banks face critical decisions about CCP membership and which markets they will