EU bid to fast-track non-cleared margin rule slammed as ‘reckless’
Requiring banks to post initial margin before year-end 'would be risky', says SocGen's Litvack
The European Union's move to fast-track the implementation of its non-cleared margin rules could see dealers forced to begin posting initial margin by mid-December – a potentially risky endeavour to undertake during the annual 'code freeze', when IT development at banks is halted while new programs and systems are rolled out for the new year.
"A 'go live' between December 15 and January 15 would be risky," says Eric Litvack, head of regulatory strategy at Societe Generale Corporate & Investment
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