Market Structure archive
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FIA Expo - Derivatives markets should prioritize same-day trade processing/give-up acceptance, industry experts say
Bouts of extreme volatility, record volume, and market stress hit the market in early 2020 in the wake of the COVID-19 pandemic. However, participants at an FIA Expo panel on 11 November noted that this real-world stress test of the clearing industry provided an important opportunity to identify core areas of the model that need enhancement and modernization.
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FIA paper on the necessity, path and related issues of opening the financial futures market
FIA greatly appreciates CFFEX’s interest in these critical topics that affect the global financial markets and the end-users who rely on derivatives products for price certainty and to hedge their risks. FIA strongly supports the regulatory recognition and deference model that has been the foundation of the futures industry for years. Identical rules, on a line-by-line basis, implemented globally across jurisdictions is impracticable.
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FIA welcomes the decisions by EC on time-limited equivalence and ESMA on UK CCP temporary recognition
FIA President and CEO Walt Lukken today made the following statement in reaction to the EC and ESMA decisions to formally grant temporary equivalence and recognition for clearinghouses based in the UK, which allow them to continue to provide clearing services in the EU at the end of the transition period between the EU and the UK.
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CFTC finalizes alternative compliance regime for non-US DCOs, updates swap data rules
The US Commodity Futures Trading Commission unanimously approved an alternative compliance regime for non-US derivatives clearing organizations (DCOs) by a 5-0 vote on 17 September. The rulemaking effectively defers many CFTC oversight requirements to relevant home-country regulatory regimes for foreign DCOs.
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FIA and ASIFMA comment on draft Data Security Law of the People’s Republic of China
FIA along with the Asia Securities Industry & Financial Markets Association submitted comments on the Consultation Draft of the Data Security Law (DSL) to the Legislative Affairs Commission of the Standing Committee of the 13th National People's Congress.
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FIA and ISDA publish paper on non-default losses at clearinghouses
FIA and ISDA published a primer on the issue of non-default losses (NDL) at clearinghouses.
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FIA, ISDA and IIF comment on FSB paper on clearinghouse resolution and equity
FIA, the International Swaps and Derivatives Association (ISDA), and the Institute of International Finance (IIF), (collectively the Associations), submitted a comment on the Financial Stability Board’s (FSB) consultation paper “Financial resources to support CCP resolution and the treatment of CCP equity in resolution.”
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Brexit and its Impact on the Cleared Derivatives Markets: A Primer
The UK left the EU on 31 January 2020 and is in a transitional period that ends on 31 December 2020. During this period, EU law continues to apply in and to the UK and UK financial services firms continue to benefit from all existing EU rights, as do EU firms operating in the UK.
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CFTC approves cross-border requirements for swaps participants
The US Commodity Futures Trading Commission passed its first binding rule on cross-border registration requirements for swap market participants on July 23, extending deference to entities already under prudential regulation in foreign jurisdictions. The rulemaking also harmonizes some definitions with those used by the US Securities and Exchange Commission.
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FIA commends European Commission for improvements to EMIR 2.2 Delegated Acts and stresses concerns about timing of equivalence decisions
FIA today responded to the European Commission consultations on EMIR 2.2 Delegated Acts for the criteria for tiering of classifying a third-country CCP as systemically important and comparable compliance for Tier 2 third-country CCPs. The response was submitted jointly with the International Swaps and Derivatives Association (ISDA).
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