A new report from EFAMA estimates that roughly 40% of daily FX flows – representing between $50-70 billion - will no longer be able to settle through the CLS platform, resulting in increased risks.
In a joint industry letter published by the European Fund and Asset Management Association, asset managers including JP Morgan AM, UBS and Vanguard, emphasise the importance of pre-trade data with fair prices for a consolidated tape.
EFAMA stated that the proposal leaves various key questions open around the methodology for determining the clearing thresholds and the level at which they would apply to various counterparties.
The latest data from the European Fund and Asset Management Association (EFAMA) shows the highest growth on record for equity fund sales, despite concerns over interest rate rises.