Repo rules caught in Covid’s concertina effect
Pandemic jeopardises phased rollout of Europe’s SFTR regime, raising fears of chaotic ‘big bang’ start
Even the best-laid plans can be derailed by unexpected events.
In the case of Europe’s new reporting regime for securities lending and repo activity, the coronavirus outbreak has thwarted what the regulator intended as a gradual, staged roll-out. A three-month delay to the first phase of the rules is prompting concerns that the industry might have to adopt the framework in one go.
Some now fear
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