On 2 November 2015, the CFTC’s Market Risk Advisory Committee gathered to discuss the recommendations of its CCP Risk Management Subcommittee, which is dedicated to CCPs’ preparations for the default of a significant clearing member. The Committee conducts public meetings, submit reports and presents recommendations to the CFTC on matters relating to evolving market structures and […]

The European Commission has today announced its adoption of five equivalence decisions in respect of Canada, Switzerland, South Africa, Mexico and the Republic of Korea. EU Commissioner Jonathan Hill said “I am pleased to announce these equivalence decisions for Canada, Switzerland, South Africa, Mexico and the Republic of Korea today.  Derivatives markets are global in […]

On 10 November 2015 ESMA published a final report delineating additional draft RTS on IRS clearing under Article 5 EMIR. The additions, included as Annex III to the report, propose the mandatory clearing of FRAs and fixed-float IRS denominated Norwegian krone (NOK), Polish zloty (PLN) and Swedish krona (SEK). ESMA believes the inclusion of these […]

The Financial Markets Law Committee (FMLC) has published a paper detailing its concerns over the Article 30(2) MiFIR indirect clearing mandate. Article 30 MiFIR allows access to a CCP by a “client of a client of a clearing member” (indirect client). While the RTS still languishes in draft form, pending possible adjustments to the EMIR […]

On 2 October 2015, ESMA published the non-confidential replies to its Discussion Paper – Review of Article 26 of the RTS on requirements for central counterparties (No 153/2013). The paper[1] focused on the timing necessary for a CCP and the level of margins available at CCP level to complete the transfer or liquidation of the […]

ESMA has issued the final draft RTS for CDS clearing. `The draft defines the type and sub-type of CDS that will be subject to the clearing obligation and the dates from which it will apply. The draft stipulates that clearing will initially apply to the following two CDS classes: ID Type Sub-type Geographical Zone Reference […]

On 22 September 2015, the all-stars of international standard-setting bodies released the 2015 CCP Workplan (dated 15 April 2015), along with a Progress Report. The Workplan was presented to the FSB Steering Committee by the Chairs of the FSB Standing Committee on Supervisory and Regulatory Cooperation, the FSB Resolution Steering Group, the Committee on Payments […]

ESMA has today updated its list of  CCPs to include CME Clearing Europe as EMIR-authorised to clear short-term interest rate futures (STIRs) and deliverable swap futures (DSFs).

In response to member demand, ISDA has published a standardised EMIR Classification Letter. The letter serves as the bilateral equivalent to ISDA Amend’s online classification tool, enabling parties to exchange formal notice of their status  with respect to EMIR’s clearing and risk mitigation obligations. ISDA have also published an accompanying Guidance Note to assist in the […]