CCP
WHAT IS THIS? A central counterparty (CCP) manages default risk by collecting initial and variation margin from both parties to a trade. Spill-over losses are absorbed via a default fund to which all members contribute – introducing a degree of mutualised risk – and by the CCP’s own capital. The concept is an old one that was extended to over-the-counter derivatives in the aftermath of the financial crisis.
South African proposals cause offshore clearing flap
Draft rules "could be reworded" concedes National Treasury
CCPs eager for first forex clearing mandate
CFTC proposal for NDF clearing could be published within weeks, CCPs say
Need to identify AIFs within fund structures for Emir
AIFMD implementation in jurisdictions is a key factor
Regional clearing houses push for third-country equivalence
China, India, Korea CCPs upgrade infrastructure to clear OTC derivatives
A bill of goods: central counterparties and systemic risk
Volume 2, Issue 4 (2014)
KRX adds 16 foreign branches for mandated won IRS clearing
KRX set to receive no-action relief from the CFTC later today
Default fund capital will halve under final rule, banks say
Clearing members welcome Basel's fifth – and final – version of charge
CCIL cleared forex forward volumes double following mandate
European banks start clearing in India despite no EU equivalency ruling
EC to snub US in first wave of CCP equivalence decisions
US will not be in first wave of five approvals for "most advanced" countries
Buy side hits out at CFTC's foreign CCP proposals
BlackRock, Citadel, Eaton Vance say CFTC plan would limit access to liquidity
Oesa: Europe little to learn from US clearing roll-out
US would have benefited from pragmatic European approach
EU regulators concerned by CFTC's foreign CCP rules
UK's FCA warns US plans may not pass European equivalence test
CFTC close to setting out DCO exempt pathway for foreign CCPs
US regulator poised to release alternative regime to DCO licence
Basel exposure limits raise questions for client clearing
CCP exposures not in scope of new regime, but clearing members are
Buy side urged to share risk of CCP collapse
BlackRock and Citadel say all participants should accept exposure
Regulation greatest barrier to African derivatives exchanges
Technology shortfalls and lack of liquidity compound challenges
Euroclear criticises non-neutral industry utilities
Major CCPs part of profit-maximising, exchange-owned entities
UniCredit's Mustier ‘frightened’ by CCP capital levels
Clearing members pressure CCPs to put more of their own money at stake
Asia dealers review CCP risk management approaches
Shanghai Clearing House lags regional peers, say market participants
Central counterparty links and clearing system exposures
Links between central counterparties (CCPs) enable participants to clear positions in any linked CCP without needing to maintain multiple CCP memberships.
Isda AGM Roundtable: What OTC reform means for end-users
Isda directors warn on fragmentation, access and liquidity - but expect problems to pass
OTC reforms: Numbers only tell part of the story
Derivatives reform glass is half-empty for regulators
Overnight heroes: central banks weigh loans for CCPs
Eurex and SGX can borrow from their central banks, while rivals have to rely on common-or-garden lenders
EU banks fear capital hit from CCP approval delays
Risk-weights set to jump after June 15