MiFID II open access to CCPs called into question

MiFID II may introduce new risks for CCPs

As the European Commission’s MiFID II legislation moved towards implementation of technical standards, some of Europe’s national regulators are seriously worried that mandatory open access to CCPs may not be such a good idea. Concerns about the ability to manage risk and the ability to effectively handle data were highlighted by speakers at the IDX FIA conference in London yesterday.

EMIR ‘significantly at risk’ of failure warns FIA Europe

FIA's Puleston Jones: change is needed

Industry association FIA Europe is calling on regulators to make changes to derivatives laws, including amendments to Basel III and MiFIR, as well as EMIR reporting obligations. The association argues that without the changes it is advocating, the viability of some of the new rules will be at risk.

Banks face “mad rush” to prepare for MiFIR

Virginie O'Shea: MiFIR will leave no room for interpretation

Financial institutions will need to maintain records, report transactions and supply reference data under the European Commission’s forthcoming MiFIR regulation. But those who expect plenty of time for implementation and no regulatory conflicts are likely to be disappointed, according to a new report by analyst firm Aite.

Swift Business Forum panel slams EU trade reporting rules


New trade reporting requirements that would require banks and other capital markets participants to demonstrate best execution through data will impose massive costs and will not provide an equal level of benefit, according to senior executives speaking at the Swift Business Forum in London this week.

Europe’s CSDs are facing a regulatory squeeze warns Nasdaq

Bergström: CSDs will need to adapt their business models

European banks and CSDs will be forced to change their business models under relentless pressure from Basel III, CSDR and T2S. That may involve consolidating services, as well as considering opportunities for collaboration, according to Henri Bergström, head of global post trade solutions at Nasdaq.

The treasurer: creating price tension on the derivatives front

David Renz is director, advisory risk, SunGard Ambit Treasury Management

A banking book requires a number of careful deliberations on the use of derivatives. In particular, the introduction of EMIR, Dodd-Frank and their brethren across the world has a number of important consequences for this market.

Regulations raise new questions about industry standards


Financial market regulations across the globe are increasingly focusing on risk management. This includes ensuring it is clear who firms are trading with and for, and confirming that firms can identify the instruments being traded. As a result, the field of reference data is increasingly held under the regulatory microscope and that lens extends to the standards used to identify financial instruments, writes Chris Pickles.

European equitisation of non-equity asset classes equals challenge

Robert Gray, Dion Global

As Europe and the US seek to reform the non-equity asset classes under the MiFID II, EMIR and Dodd Frank regulations, significant challenges remain to ensure harmonisation and transparency for investors.

CCP “contagion” fears spark derivatives debate

Simons: interoperable clearing for derivatives is just not a good idea. Ever.

Controversy over the handling of derivatives dominated talk at the Mondo Visione Exchange Forum this week, where panellists contested the value of interoperability and whether CCP contagion might bring down the financial system.

EMIR trade reporting deadline takes effect – but where are the standards?


New European rules that require banks, brokers and clients to report their daily market positions and collateral values to trade repositories came into effect yesterday. But European regulator ESMA made no clarification about models, leaving the question of how to report up to the market. That could cause problems, market participants have warned.