EACT & US Coalition for Derivatives End-Users submit responses to the BIS-IOSCO Consultations on Margin Requirements for Non-centrally-cleared Derivatives

The EACT has, together with the US Coalition for Derivatives End-Users, submitted responses to the BIS-IOSCO Consultations on Margin Requirements for Non-centrally-cleared Derivatives. The responses highlight that non-financial end-users should be exempt from mandatory margining requirements for OTC derivative trades or only be required to post margin above a certain threshold. Introducing mandatory margining requirements would impose unnecessary cost and liquidity burdens to non-financial end-users, which could push some end-users to stop using derivatives which are however essential for corporates to be able to hedge commercial risk. The fact that non-financial end-users' derivative exposures pose little to no systemic risk should be taken into account when drafting the BIS-IOSCO recommendations. For the first consultation (July 2012), the joint submission can be viewed here  and the BIS-IOSCO consultation document can be found here. For the second consultation (February 2013), the joint submission can be viewed here and the BIS-IOSCO consultation document can be found here.

View Document

Subscribe to the EACT Newsletter

News


EACT LMA Webinar: Libor Transition & Reference Rate Reform 2020

Photo from EACT LMA Webinar: Libor Transition & Reference Rate Reform 2020

View a recording of the recent webinar hosted by EACT and Loan Market Association (LMA).

View More

EACT Supports Cross-Industry Request for Extension of the Third Country Benchmarks Transition Period

The signatories of this paper believe it is critically important that the transition period for third country benchmarks under the Benchmarks Regulation (BMR) should be extended beyond the end of 2021 to end-2025.

View More

GLEIF-EACT Webinar: Accelerating Digitisation of Treasury with the LEI

Photo from GLEIF-EACT Webinar: Accelerating Digitisation of Treasury with the LEI

View a recording of the recent webinar hosted by EACT and Global Legal Entity Identifier Foundation - GLEIF.

View More

EACT responds to European Commission consultation on an EU Green Bond Standard

The European Association of Corporate Treasurers (EACT) has published its response to the European Commission’s (EC) consultation on the creation of an EU Green Bond Standard (EU GBS).

View More

EACT Newsletter - September 2020

Photo from EACT Newsletter - September 2020

The latest issue looks at central bank digital currencies (CBDCs), communication in a digital world, and information regarding the new 2020 - 2021 Journeys to Treasury report.

View More