ISDA backed up December survey opinon with a January cleared transaction volumes analysis to show that CFTC's SEF rules already shifted D2D IRS volume offshore from the US.
In a press release published today, ISDA announced that the release of the 2014 Credit Derivatives Definitions will be pushed back until September 2014.
I really can’t believe we are just a fortnight away from EMIR Reporting go-live date. It feels like time has flown since my last post on the 18th December on this very topic.
If you weren't aware, the CFTC now publish aggregate data based on the trade data submissions on OTC products to the DTCC, ICE and CME SDRs on a weekly basis.
In the FT Thomas Krantz formerly secretary-general of the World Federation of Exchanges, lists many questions about the wisdom of moving the OTC market into clearing, but poses questions that
According to a Risk Magazine article (subscription required), some European CCPs are revising their margin models in order to comply with Esma regulations regarding the effects of procyclicality on margin requirements.
The need for firms reporting derivatives to make use of a Legal Entity Identifier is driving the emergence of a federated network of national issuers. The current list of issues includes:
ISLA's 23rd Annual Securities Finance and Collateral Management Conference
According to this Risk article, it would seem that the UK's Financial Conduct Authority has lined up with US regulators to give FX fowards (and presumably swaps) an exemption from EMIR reporting
ClarusFT discuss data on CDS trading in their SDRView service.
Reacting to re-regulation will take "until close to the end of this decade", says Barclays CEO Antony Jenkins at Davos as quoted in this article from the FT(subscription required).
ASX announced support for its OTC clearing service from leading dealers, the news release is here. Banks include:
Cleared notionals at HKEx have reached a little over USD 50m, given the previous story on Shanghai Clearing it is interesting to see the
Clearing for RMB IRS has begun in China
2 x Senior Business Analysts [Contract] required in Hong Kong to build out a securities settlement system from scratch for global finance firm.
One of the deferred problems with the EMIR approach to Trade Reporting is post Feb 12th when ESMA requires all the TRs to attempt to match the submissions in a multi-lateral mashup. EMIR allows each party to a trade to report to their chosen TR, nice to have freedom of choice, but each TR has a difference technology platform and data specifications. For ESMA to re-assemble this broken mirror into something coherent, each TR must attempt to compare the same trade submission using LEI and UTI as a key, and provide matching results back to submitting parties.
Slightly off beat but really interesting, an article by Marc Andreesen (the man who invented web browsers) on the emerging phenomenon of digital currency: http://blog
Some time between now and the middle of next year a mandate to clear will come into force, but until then ESMA have been undertaking considerable consultation with market participants.
On December 10th, 2013, five US federal agencies adopted a final rule to implement the Volcker Rule. The effective date of the Volcker Rule is April 1st, 2014. However, the agencies have extended the compliance deadline until July 21st, 2015.