Varying bank leverage ratio could fix ‘broken’ repo market

Olesya Dmitracova
12 Nov 2020

Tweet
Facebook
LinkedIn
Save this article
Send to
Print this page

The repo market is “broken” but there is a way for regulators to fix it: by applying different leverage ratio requirements to banks depending on the counterparty to the trade, according to the head of trading at HSBC Global Asset Management.

“When the leverage ratio applies…it should apply differently for the interbank market and for banks [trading] with end-customers,” said Daniel Leon, global head of trading, treasury management and global solutions at the $517 billion asset manager.

“What

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.

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]

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]