Australian VM relief undermined by backloading rule

Trades entered during six-month transition period will need margin from September 1

Apra: there are signs the regulator has been listening to concerns

Despite a six-month transition period for implementing variation margin (VM) on non-cleared derivatives trades, Australian banks will still have to sign new legal agreements with many of their counterparties ahead of the global March 1 deadline for the new rules, which threatens to rob the market of liquidity.

"This transition period was supposed to give us relief, but if at the point in time where the relief starts you don't understand what the key economic terms of your CSAs [credit support an

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