Derivatives 'not untouchable' for bail-in, warns SRB's König
Rating agencies "might be wrong" to see swaps as safer, says eurozone resolution chief
The head of Europe's resolution authority has warned market participants not to assume derivatives liabilities will get preferential treatment next time a big bank collapses – one of the central planks of a new derivatives assessment methodology published by Moody's Investors Service in March.
The rating agency's counterparty risk assessment (CRA) is based on the assumption that authorities are less likely to inflict bail-in losses on certain obligations during the resolution of a big bank. The
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