SEC's last-minute CDS margin fix sparks buy-side anger

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Buy-side firms have reacted angrily to temporary portfolio margining provisions rushed out by the Securities and Exchange Commission (SEC) late on Friday as the clock counted down towards yesterday's start of mandatory clearing in the US.

The last-minute fix allows firms to benefit from offsets between cleared index credit default swaps (CDSs), which are subject to the mandate, and single-name contracts, which are not. But instead of allowing the portfolio to be margined at the same level as

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