Moving Euro Clearing out of the UK: the $77bn problem?
We estimate the Initial Margin impact from moving EUR Clearing out of the UK This could happen as a result of Brexit We can make an estimate as to the maximum margin impact possible using publicly available data In terms of Initial Margin, we only see a small impact on the LCH SwapClear portfolio in London But […]
Direct Clearing For Dummies
Back in July of 2016, the CME submitted a proposal to the CFTC for a new class of clearing membership which they call “Direct Funding Participant” (“DFP”). I was drawn to the topic last week when Bloomberg wrote an article about its imminent effective date of Sep 23, 2016. As it happens, it appears that date was […]
Trading Obligation for Derivatives under MiFIR
I last looked at this in Oct 2015 in my article MiFID II and the Trading Obligation for Derivatives and now that a year has passed there is a new ESMA Consultation. The accompanying discussion paper is here and in this article I will review the key elements of the consultation. Background Once a class […]