CCP
WHAT IS THIS? A central counterparty (CCP) manages default risk by collecting initial and variation margin from both parties to a trade. Spill-over losses are absorbed via a default fund to which all members contribute – introducing a degree of mutualised risk – and by the CCP’s own capital. The concept is an old one that was extended to over-the-counter derivatives in the aftermath of the financial crisis.
Risk 25: The search for margin efficiency
Margin efficiency: The new battleground
Risk 25 firms of the future: Introduction
With over-the-counter derivatives markets in flux, picking winners and losers is a tough job. This is where Risk’s editorial team nails its colours to the mast. By Lukas Becker, Matt Cameron, Laurie Carver, Clive Davidson, Ramya Jaidev, Peter Madigan,…
Risk 25 firms of the future: State Street
Taking on the Street
Risk 25 firms of the future: Newedge
'Fair and unconflicted' but under pressure
Risk 25 firms of the future: Deutsche Bank
Difficult choices ahead
Risk 25 firms of the future: Citadel
OTC market-maker in waiting
Risk 25 firms of the future: BlackRock
‘Jury out’ on OTC derivatives
Risk 25 firms of the future: CME Group
We are not too big
Risk 25 firms of the future: LCH.Clearnet
Open to acquisitions
Risk 25 firms of the future: NYPC
One pot, three CCPs
Risk 25 firms of the future: Basel Committee
Implementing rules and filling in gaps
Risk 25 firms of the future: Bank of England
CCPs will not be too big to fail
Risk 25 firms of the future: TriOptima
In the balance
Relief for dealers as Basel reins in capital for cleared trades
Basel Committee addresses long-standing complaints over default fund exposures and client clearing
Asia CCPs unlikely to fully comply with Iosco before end-of-2012 deadline
New levels of complexity and ongoing regulatory framework discussions mean full compliance with Iosco’s new principles is unlikely before the January 1, 2013 deadline
CCPs wary of covered bonds despite Esma proposal
LCH.Clearnet and Eurex will not accept own-name covered bonds as collateral, despite green light from Esma
Steering towards new CCP principles: William Dudley interview
Principle character: William Dudley interview
CCP recovery and resolution: New tools, but no rules
Apocalypse never?
Coleman warns of stability dangers from regulatory reform
In search of stability
Extraterritoriality remains a major issue, says FSA’s Lawton
Resolving issues around the extraterritorial application of derivatives regulation is a major outstanding issue that needs to be addressed, says FSA’s acting director of markets
How Asia is progressing towards OTC clearing deadline
The clock is ticking
Risk & Return Canada: CCPs won’t stop future crises, says academic
Central counterparties a ‘Maginot line’ that won’t prevent financial breakdown, argues Queen’s University at Kingston assistant professor