Non-US sovereigns should collateralise swaps, say US bank regulators


All non-US sovereigns would be asked to start posting collateral on bilateral derivatives trades with US counterparties, under a new joint proposal from five US regulators - a radical attempt to change the status quo for sovereign derivatives users, many of which currently refuse to post collateral, despite the funding and capital costs this creates for dealers.

"It is about time governments walk the walk - not just talk the talk. If we are all truly interested in reducing risk, then it makes

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:

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 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: