Regulation & Clearing - All Articles

  • ESG listed momentum builds as Cboe launches options

    The ESG derivatives market expanded further this week, as Cboe Global Markets opened trading for its new S&P 500 ESG index options.

    • 24 Sep 2020
  • Sofr caps pick up, as Fannie and Freddie force liquidity

    Fannie Mae’s and Freddie Mac’s drive to buy floating rate loans that reference the secured overnight financing rate is charging up a nascent market in interest rate caps that reference the Libor replacement.

    • 24 Sep 2020
  • EC grants clearing reprieve, urges UK cutback

    The European Commission on Tuesday gave the derivatives clearing industry a lifeline by granting an 18 month equivalence decision that will allow European firms to keep using UK central counterparties.

    • 22 Sep 2020
  • DTO issue rumbles on as ISDA pushes for equivalence

    As political tensions rise over the UK-EU trade negotiations, concerns in the derivatives market are growing as the lack of equivalence between trading venues causes jitters once again.

    • 17 Sep 2020
  • Eurex vindicated in passive liquidity protection, so far

    High-frequency traders have fiercely resisted efforts by derivatives exchanges to bring in delaying measures, such as speed bumps, to their venues. But at Eurex, one such passive liquidity programme (PLP) is proving its critics wrong.

    • 16 Sep 2020
  • CFTC report lays out radical measures to combat climate risk

    The Commodity Futures and Trading Commission — the top derivatives regulator in the US — laid out the risk that climate change poses to financial stability in stark terms in a report it released on Wednesday.

    • 10 Sep 2020
  • Financial services face weaponisation as Brexit tension rises

    The tension between the EU and UK over Brexit ratcheted up this week, with the prospect of the UK reneging on the EU-UK Withdrawal Agreement rearing up. Rising political tension could now boil over into talks on financial services.

    • 08 Sep 2020
  • Debt funds under scrutiny over redemptions

    Market observers believe that investors in open-ended debt funds need to be disincentivised more than they are at present from scrambling to liquidate their holdings in a market downturn.

    • 03 Sep 2020
  • Phase five initial margin deadline passes with EU silent

    Derivatives counterparties breathed easy in March when the Basel Committee on Banking Supervision and the International Organisation of Securities Commissions announced a year’s delay in the introduction of initial margin rules. But in Europe — with the deadline already passed — legal confirmation has still not appeared.

    • 02 Sep 2020
  • ESMA blames remote working for reg delay need

    The European Securities and Markets Authority (ESMA) has said that making sure staff could work remotely hindered the ability of financial firms to work on regulatory and IT projects, in a final report calling for the implementation of a set of rules on settlement discipline — including on mandatory buy-ins — to be delayed until 2022.

    • 01 Sep 2020