The Securities and Exchange Commission (SEC) has extended a temporary rule allowing cleared single-name and index credit default swaps (CDSs) to be margined together, disappointing buy-side firms that want to see a final - and level - framework in place. As things stand, buy-side firms can use so-called portfolio margining, but only if they post more collateral than a clearing house requires of futures commission merchants (FCMs).
"We are still furious. There is no empirical justification for th
The week on Risk.net, July 7-13, 2018Receive this by email