Local Asian custodians not ready for IM phase five
Banks’ sluggish preparations for initial margin rules could hit buy-side clients
As firms in Asia look ahead to the final stage of non-cleared margin rules, due to take effect in September 2020, bankers are raising the alarm over the lack of preparations among local custodians to handle the anticipated uplift of collateral flow from smaller, regional clients.
“I don’t think there’s too many sub-custodians out there who can offer any form of initial margin segregation for
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