“The overall impact could be to make it too costly for certain banks to continue to be clearing members and they will be forced to either pass the costs onto end users or exit the business,”
“The overall impact could be to make it too costly for certain banks to continue to be clearing members and they will be forced to either pass the costs onto end users or exit the business,”
—Christine Brentani, a managing director in the prudential regulation division at the Association for Financial Markets in Europe, on a recent draft proposal from the European Commission covering capital exposures to central counterparties.
The headline numbers resulting from hyperscaler capital raising are staggering and are boosting banks’ profits. But not everyone will be getting fat on the spoils