EU banks forced to up collateral for ETDs in Q4 2020

Lorenzo Migliorato
09 Aug 2021

Tweet
Facebook
LinkedIn
Save this article
Send to
Print this page

Over-collateralisation of European Union banks’ exchange-traded derivatives (ETD) liabilities at end-2020 was the highest since the previous March, European Banking Authority (EBA) data shows – a sign of how margin requirements can ramp up despite ostensibly benign market conditions.

As of the end of last year, security posted by lenders in ETD transactions was 23.3% in excess of their liability, compared with 12% at end-September and 17.4% at end-June.

It was the highest level of

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

You are currently unable to copy this content. Please contact [email protected] to find out more.

You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/

If you would like to purchase additional rights please email [email protected]

You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/

If you would like to purchase additional rights please email [email protected]