European Commission sets up industry-wide group to solve clearing challenge for pension funds
New working group will look to solve complications for pension funds in providing cash collateral as variation margin.
Tag: collateral
Financial industry will need to find $100bn of unrecognised assets to meet collateral requirements
A new study found the two-way initial margin rules for non-cleared derivatives will also result in a collateral shortfall of $60 billion alone.
JP Morgan aims to free up balance sheet with new Eurex Repo service
Banks are attempting to find ways to reduce their capital-intensive repo trading activity in order to avoid penalties.
Buy-side firms face up to operational challenges of incoming collateral rules
Despite the extension to comply with the final phase of the uncleared margin rules, major operational challenges remain for buy-side firms.
JP Morgan automates derivatives margin payments with DLT
JP Morgan has developed a DLT-based system to speed-up and automate post-trade margin payments.
New securities financing rule could give unwanted visibility into the buy-side’s trading book
Funds have raised concerns that SFTR requirements on collateral re-use will provide full view of trading book.
Banks could unwind non-compliant derivatives contracts
Banks may be forced to cancel trades with clients executed after 1 March if their collateral agreements had not been re-negotiated.
Aviva Investors first buy-side client of new LCH direct collateral accounts
The new account structure will allow buy-side clients to post collateral directly with the clearing house.
US agencies provide respite with variation margin changes
Derivatives trading bodies are pushing for US agencies to ease rules on how client cash margin held by banks is calculated as part of their capital exposures.
Societe Generale extends COLLINE partnership
The French bank will use the platform for its collateral management operations across the prime services and securities services businesses globally.