Risk Annual Summit: Corporate clearing exemption vital, say panellists

Corporate treasurers call for a broad clearing exemption within European rules – and say they might stop using derivatives without it

A clearing exemption for end users under new derivatives legislation is vital to ensure corporates continue to hedge their risk, according to panellists at the Risk Annual Summit in London.

The European Market Infrastructure Regulation (Emir) includes an exemption from clearing for non-financial companies that use derivatives to mitigate risk. However, the European Securities and Markets Authority (Esma) is charged with padding out technical details on the end-user exemption – and some