FCA: some energy firms botched key Emir test

Oil and gas producers were not all correctly applying a key Emir threshold, says FCA official. Conference warned fines are a possibility for rule breaches

financial-conduct-authority-canary-wharf
FCA headquarters

A review of oil and gas firms by the UK's Financial Conduct Authority (FCA) has found some were not correctly classifying hedges and speculative trades – a key task that will determine whether non-financial counterparties (NFCs) are required to clear their over-the-counter derivatives under the European Market Infrastructure Regulation (Emir).

Hedges do not count towards the three thresholds that separate an NFC-minus from an NFC-plus – the latter are treated as financial counterparties and have

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

Most read articles loading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here