Central banks accused of collateral hypocrisy


Dealers are railing against central banks for what they see as hypocrisy – while policy-makers call for wider use of collateral in derivatives markets or push participants towards the use of central counterparties (CCPs), central bank dealing desks refuse to post collateral themselves and have also negotiated an exemption from incoming European clearing rules. It's a policy dealers claim is exposing the industry to huge funding costs and risks.

"If you go back to the financial crisis, what

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: