Asia to follow US on clearing amid fears about hedging costs for exporters

Banks in Asia say there is no easy formula in deciding whether moving over-the-counter foreign exchange instruments onto central counterparty (CCP) clearing would represent a lower-cost solution for their corporate clients, or if they are better off falling back to the traditional practice of using a credit support annex (CSA) under International Swaps and Derivatives Association master agreements.

In Asia, G-20 member countries such as Australia, China and Japan, are expected to largely follow

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 indvidual account here: