Average daily variation margin (VM) calls rose 19.8% across major central counterparties (CCPs) in the fourth quarter of last year, hitting $36 billion on aggregate. Combined peak VM calls also showed a substantial rise of 23.6% to $85.6 billion.
The growth was most visible at three clearing units at the Japanese Securities Clearing Corporation (JSCC) and the government securities division (GSD) at the Fixed Income Clearing Corporation (FICC), all of which recorded new highs in average VM call.
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