Banks shun Emir's indirect clearing service
Service was designed to help small firms comply with clearing rules, but banks say they will not offer it under the conditions laid out in Emir
Banks are still incapable of offering indirect clearing for over-the-counter derivatives more than two years after rules for the service were added to the European Market Infrastructure Regulation (Emir) – an attempt by regulators to ensure small OTC market participants would be able to clear. Big banks say the terms on which they would have to offer the service make it commercially unviable.
Indirect clearing allows the clients of a clearing member to take on clients of their own, but the
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