New margin timing rules may pose problems for buy side

Dealers warn clients could struggle to meet incoming T+1 deadline for variation margin

Buy-side firms may struggle with incoming rules on the posting of variation margin, Isda conference hears

Banks warn that the buy side may face difficulties meeting planned new timing requirements for exchanging variation margin on non-cleared derivatives trades.

Non-cleared derivatives margin rules came into force in the US, Japan and Canada on September 1, requiring the largest dealers to post initial and variation margin on new non-cleared over-the-counter derivatives trades. From March 1 most other counterparties will be required to post variation margin on new trades. That variation margin must