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CFTC’s swap stay plan for clearing houses sparks alarm
Lawyers warn proposal could invalidate close-out netting and expose members to higher risks
Bailed-out basis traders face regulatory backlash
The cash/futures basis trade could be a test case for regulating systemically risky activities
SFC’s Alder looks to shake up liquidity rules post-Covid
Asia Risk 25: HK regulatory head says central banks must “never have to step in again” to bail out investors
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There are conflicts of interest but Esma are misguided in seeing that as isolated just to the host management company market
Mike Booth, MJ Hudson
I expect the US Congress will pass legislation pricing carbon, it is only a question of when. This is the inevitable policy response
Robert Litterman, Kepos Capital
With respect to the effect that liquidity measures may have had on some important instruments, I think we can calibrate it in such a way that it would largely address those concerns
Randal Quarles, US Federal Reserve
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Hedge funds eye Brexit escape from Mifid reporting
UK tipped to diverge from Europe’s proposed reforms to fund manager rules
Big Figure
Cash still at risk
Final European Union rules on resolution and recovery for central counterparties banned regulators from haircutting initial margin as a tool to salvage a CCP. But if a clearing house goes bankrupt, margin posted in the form of cash would still go into the general pot of insolvency assets.
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Covid bank tests, swap fix deferred and SOFR switch
The week on Risk.net, October 17-23, 2020
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Strengthening supervisory co-operation in derivatives markets
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