CFTC counsel warns of threat to clearing portability

Leverage ratio seen as biggest impediment to porting client positions

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US regulators are concerned about the impact of the leverage ratio on client clearing

A senior staffer at the US Commodity Futures Trading Commission (CFTC) has raised concerns about the portability of client positions held at a central counterparty (CCP) in the event of a clearing member default.

“I am personally quite concerned that during crisis times, during a time of market stress, the ability to find homes for these customers, to find firms that are willing and able to take customer positions on, is much less likely than I would like and it concerns me a great deal,” said