The new Chairman of the CFTC is making a fast start in tackling the unintended systemic risk consequences of Dodd-Frank's Title VII derivatives rules. Could this avert a future FCM concentration risk crisis and enable legacy stockpiles of uncollateralized counterparty risk to be more easily reduced in response to the capital incentives? Let's hope so.
CME launches their DSF product within their European Entity and CCP.
The International Swaps and Derivatives Association, Inc. (ISDA) today released results from its 2014 ISDA Margin Survey at its 29th Annual General Meeting in Munich.
Keep track of which CCPs are authorised and when.
Key organisations within the UK provide components of the Financial Market Infrastructure, which the Bank of England must supervise.
Deloitte has a team called the Centre for Regulatory Strategy which has done something interesting, calculating the incremental cost of the new regulations on cleared and non-cleared OTC products.
For those who are fluent in Polish, the Polish FSA announced this today:
The FSB have published their latest report on progress around the world on implementing the G20 reforms for Trade Reporting, Central Clearing, Capital Rules and Electronic Trading.
SGX has added new cleared OTC IRS contracts in Malaysian Ringgit and Thai Baht IRS but settled in USD
Bill: Although this post dates back to April 2014, the topic of concentration risk within a CCP is still valid, I am surprised this research didn't pick up more comment at the time of publication, as it seems to numerically show under-margining in
A 2nd CCP is now authorised under EMIR
To safeguard the overall integrity of the Clearing House (Eurex) and to protect the mutualizing Clearing Fund, we conduct an internal credit assessment of all counterparties and perform continuous monitoring of credit, concentration and wrong-way
I was reading a quite interesting piece this morning from Stephen Bruel at Brown Brothers Harriman on how Collateral Management has evolved the last few years, the impact of central clearing on it and how challenges in collateral management are bu
Check the date on the last two articles on the CFTC and ESMA
A supplementary Q&A from ESMA sets out further challenges for firms to implement trade reporting.
I came across one item in a series from the NY Fed on bank complexity - the charts demonstrate an aspect of Banks which we often overlook - that they contain many affiliates as a result of SPVs, or for other commercial purposes.
HanMag Securities recent default has shown that clearing can mitigate credit risk, but is not perfect. Managing and valuing credit risk to Central Counterparties (CCPs) is a must, particularly with new regulations. This article lists 10 checking points to analyse credit risk to CCPs.