Industry faces crunch time on Simm enhancements

If the required new risk factors are not added on time, firms may face a more punitive look-up grid

grand-central-clock-time-runs-out
Tick tock: firms using dividend swaps are at risk of missing January deadline and needing add-on

Banks are racing to make enhancements to the standard initial margin model (Simm) for non-cleared derivatives required in the first quarter of 2017, according to experts, and some products may be temporarily subject to the more punitive margin schedule devised by the Basel Committee and the International Organisation of Securities Commissions (Iosco).

US regulators provided a blanket approval for the use of the Simm just in time to meet the September start date for non-cleared margin rules, but

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: