The just in time legislative supply chain seems to be still working in the EU. On 21 December, the Commission adopted the two Delegated Regulations amending EMIR Regulatory Technical Standards. The EC have published the RTS today: The Draft Revised Margin RTS (Margin RTS) The Draft Revised Clearing Obligation RTS (Clearing RTS) A quick refresh […]

This year’s “transition” period has inevitably devolved into a slow game of “Chicken”- it’s yet to be seen whether it will result in a complete car crash. Whatever the extension/shadow deal/no deal final outcome; the City and financial services have been excluded from consideration. Absent any imminent prospect of equivalence decisions; ISDA has yesterday published […]

It’s still early (if seemingly interminable) days, but Brexit bonuses seem to be thin on the ground. At least for UK banks, the disavowal of BRRD 2 may be of some comfort.  A recent article (paywalled) in Risk Magazine highlights upcoming UK-EU divergence around BRRD 2. The BRRD sequel comes into force on 28 December […]

On 30 November 2020, the EU Parliament and Council reached agreement on Commission-proposed amendments to the BMR. In anticipation of LIBOR’s end’ 2021 demise, the amendments give the Commission to power to propose replacement for the benchmark categories: “critical” benchmarks, which influence financial instruments and contracts with an average value of at least €500 billion […]

Following the administrator’s announcement on 18 November that it would consult on its intention to cease publication of all GBP, EUR, CHFand JPY LIBOR tenors on 31 December 2021; there was ill-founded speculation that USD LIBOR would somehow be reprieved. ICE Benchmark Administration (IBA) have today announced “will consult on its intention to cease the […]

On 23 November 2020, the Joint Committee of the European Supervisory Authorities (ESAs) published a third “final” version of its draft RTS making various amendments to EMIR margining requirements. The draft (re)introduces the following amendments: Levelling the international playing field: An extension of a further three years for the “temporary” exemption from margining requirements for single-stock […]

ESMA has this morning released a public statement confirming that the EU Derivatives Trading Obligation (DTO) will continue to apply after Brexit transition. The DTO under Article 28 of MiFIR requires firms to transact certain derivatives (essentially the most liquid, standardised contracts) on an EU trading venue, or that of a third country already judged […]

The Canadian CDOR rate will merit at least a small footnote in financial history as the first IBOR over the cliff. On 12 November, the CDOR administrator Refinitiv Benchmark Services (UK) Limited announced that it will cease to calculate and publish the rate’s 6 and 12 month tenors from 17 May 2021. In the absence […]

The CFTC have published the final rule extending IM Phase 6 in today’s Federal Register. In response to the COVID-19 pandemic, the final rule extends the Phase 6 deadline by one year to 1 September 2022 and has a retrospective effective date of 9 December 2020. The final rule updates the April 2020 “final” rule […]