Netting
Netting risks create pricing and operational headaches
Oversight of legal risks is not always robust
Accounting puts brake on move to daily settled swaps
New margin approach threatens hedge accounting status, could hurt effectiveness
Energy firms urge EC to ease Emir clearing rules
Review highlights concerns over impact of clearing on nonfinancials
Proposed margin rule to hurt global banks’ trades with China
Industry dislikes HKMA rule on initial margin for uncleared trades with non-netting countries
Interoperability between central counterparties
The authors investigate interoperability from the perspective of the multilateral netting property of central clearing.
Global banks support 5% threshold for margining uncleared swaps
A lack of netting statutes and low volumes make requirements excessive for emerging markets
Russia to de-link derivatives reporting and netting
Corporates may be drawn into reporting regime, however
India to become netting friendly on bankruptcy law reform
Different treatment of public and private banks stymied netting – but this could now change
Eurex vs LCH.Clearnet: clash of the titans
German exchange woos big clearing members with promise of capital savings
Banks call for CCPs to act on compression
Revamped service at LCH.Clearnet has $200 trillion target for 2014
China still a 'dirty' netting jurisdiction for banks
Lack of certainty over close-out netting continues in China
Legal clouds hang over RWA-driven netting push
New capital requirements are making it more difficult for banks to trade with counterparties that are not covered by a netting opinion. That is spurring attempts to expand coverage, but can leave banks and lawyers on uncertain ground. By Lukas Becker
UniCredit hit by ‘dangerous’ ruling in Russian swap dispute
Court sets "dangerous precedent" in allowing local corporate to walk away from swap without compensating UniCredit
Central clearing obligations cause collateral headaches in Asia
Collateral thinking
South Africa considers onshore mandate for OTC clearing
On-message for onshore clearing?
Lack of clarity over clearing provides problems for Asia banks
The deadline set by the G-20 to clear all standardised OTC derivatives has passed but a lack of regulatory clarity over the shape of reform is hampering banks in the region
Asia Risk Congress: Clarity needed on close-out netting
Panellists at Asia Risk Congress say there needs to be clarity on close-out netting in certain countries before establishing CCPs
IMF: CCP structure increases systemic risk
The likely increase in the number of central counterparties will create more 'pockets of risk', says senior economist
Diverse netting approaches create OTC headache
Gap in the net
Banks hope for CCP capital concessions at Basel meeting
Banks and CCPs are pressing for changes to method of calculating default fund capital
Dealers pitch loan format for swaps as CVA dodge
Banks are offering to replicate the economics of OTC swaps in loan format - avoiding new capital and clearing rules
Mitigating op risks for CCPs post-crisis
To the rescue
Risk.net poll: CCPs should have access to central bank liquidity
The majority of respondents to an online poll support central bank liquidity access for CCPs, but critics argue this would be likely to lead to the break-up of multi-currency clearers