Non-cleared margin rules unsettle Asian booking hubs

European banks reluctant to rely on complicated exemptions for inter-affiliate trades

There are plenty of reasons why banks might want to centralise their risk management functions. Duplicated roles can be eliminated. Trading positions can be netted off. Internal model approval can be streamlined. But taking risk back into head office is about to become more expensive.

Global banks have long been preparing for the margining of the over-the-counter derivative trades that they execute with third parties, but not all of them have given the same attention to margining of trades that