US swap trading overhaul may reinforce market split, users warn
New rules on trade execution likely to halt any unifying shift of liquidity to order books
Expected changes to US interest rate swap trading rules will only further solidify the current two-tiered structure between dealers and clients, warn some market participants.
The US Commodity Futures Trading Commission is set to propose amendments to its swap execution facility (Sef) rules in April that are likely to relax existing restrictions on execution methods, which are currently limited to request-for-quote systems and central limit order books (Clobs).
The reforms are expected to draw
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 print this content. Please contact [email protected] to find out more.
You are currently unable to copy this content. Please contact [email protected] to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email [email protected]
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email [email protected]
More on Derivatives
Derivatives
Swaptions transition snags trigger term SOFR calls
Liquidity flips to RFR but laggards struggle with behavioural quirks for contracts referencing overnight rates
Receive this by email
Most read on Risk.net
- As crypto collapses, a major lender quadruples borrowing costs
- DRW calls for regulation of fiat-backed stablecoins
- Ex-Deutsche CRO: banks face hundreds of billions in climate fines
- Podcast: Ritter on optimal execution and reinforcement learning
- BofA, Citi among hardest hit in latest Fed buffer review