LCH SA incurs record number of margin breaches in Q1
The listed derivatives unit of LCH’s Paris-based clearing house reported a sixfold rise in margin breaches during the first quarter, with the biggest initial margin call for the period clocking in at a massive €100 million ($113 million).
Backtesting breaches over the rolling 18-month period ending March 31 amounted to 147, up from 23 at end-2019.
The peak breach in Q1 eclipsed the previous record of €3 million posted in Q4 2019. The average margin breach size was €5 million.
//LCH SA’s
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