Leaked EU proposals show FRTB divergence on carbon trading

EC takes up Isda call to cut standardised risk-weight; unclear if it applies to non-EU markets

EU emissions

Leaked draft proposals on changes to the European Union’s prudential rules show the bloc intends to diverge from international standards by implementing lower capital requirements for banks trading in emissions allowance markets. But there is ambiguity about whether all carbon trading will benefit, or only trades on the EU emissions trading system (ETS).

The draft rules will follow recommendations made by the International Swaps and Derivatives Association rather than rules set within the final

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 copy this content. Please contact [email protected] to find out more.

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 individual account here: