Risk.net poll: Basel rules make client clearing uneconomical

Fifty-four per cent of respondents say new capital rules for bank exposures to central counterparty default funds makes it unattractive to offer client clearing services


The majority of respondents to a Risk.net poll think new Basel capital requirements for bank exposures to central counterparty (CCP) default funds mean it will not be economically viable to be a clearing member.

Fifty-four per cent of participants think the economics of client clearing do not stack up given the latest consultative paper from the Basel Committee on Banking Supervision, published on November 2 last year.

The proposed rules require each CCP to calculate a hypothetical capital

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