Euroclear

  • Meeting the margin challenge

    Meeting the margin challenge

    Clearing Houses collecting margin to manage their counterparty risks is perhaps the central tenet of the G20 plan to de-risk the derivatives market. To work, it depends on collateral moving quickly and efficiently between market participants and clearing houses. Time is tight and delays can have major consequences.

  • The roadmap of change for collateral management

    The roadmap of change for collateral management

    How banks, brokers and CSDs manage collateral is undergoing a once in a generation change. For market players looking at how they best prepare for this, it is important to analyse the process in which change occurs. In the world of collateral management, the revolution caused by new regulation is happening at the same time as the financial technology underpinning the sector is rapidly evolving. But that is not enough. Existing market players need to be willing adopters of the new ways of doing business, while outside innovators must also be allowed into the market. The final phase occurs when the market comes together to adopt a new set of standards that enshrines the revolution into a new way of working.

  • Catching the next wave of OTC derivative margining

    Catching the next wave of OTC derivative margining

    The initial launch of the new regime for margin requirements for non-cleared derivatives passed on September 1. This first wave affected those firms with the largest presence in the market for both initial and variation margins under the new regulations.

  • Buyside appetite in OTC derivatives remains undiminished

    Buyside appetite in OTC derivatives remains undiminished

    Like most major regulatory changes, the introduction of new margin, collateral and capital requirements for non-cleared OTC derivatives has been subject to delay as regulators finalise the details and dealers are struggling with their implementation. With its global start date already having been delayed from Q3 2015 to 2016, Europe is now pushing back further, most likely to Q2 1017.