FIA Global Launches CCP Rulebook Review

FIA Global Launches CCP Rulebook Review

  • FIA Global announced a new service that will provide information on clearinghouse rules worldwide and help market participants assess the risks of clearing. 
  • The FIA Global CCP Rulebook Review will provide a standardized, comprehensive overview and analysis of clearinghouse rules and procedures as well as timely updates on changes to the rules and regulatory framework.
  • Two law firms-Linklaters LLP and Milbank, Tweed, Hadley & McCloy-have been engaged by FIA to support the service.
  • "As global regulators implement centralized clearing requirements, there is an increased focus on monitoring the risks associated with clearing derivatives products," said FIA President and CEO Walt Lukken. "The FIA Global CCP Rulebook Review will provide a comprehensive map to this new terrain."

CME steps in Asia FX Market

CME makes Asia FX push IFR Asia 857 - August 16, 2014 | By Mike Kentz

CME Group recently acquired foreign-exchange derivatives trading platform Fenics from GFI Group, an inter-dealer broker. The Fenics platform is seen as having a strong footprint among Asian banks, which use the tool’s data and analytics strengths to manage currency risks associated with trading across Asian jurisdictions.

http://www.ifrasia.com/cme-makes-asia-fx-push/21159856.article

Client Clearing Fee | Major Banks

  • Barclays Fees, £750 per new trade, £75 per quarter, 100 bps on Initial Margin
  • JP Morgan Fees, $1,500 per trade, 60 bps on Initial Margin
  • Citi Fees, $750 per trade, 50 bps on Initial Margin
  • CME OTC IRS fees are $0.25-$24 per million for a trade and then $2.00 per million, per annum, per line item and volume discounts.
  • LCH SwapClear fees are $0.9-$18 per million for a new trade and then $3.00 per million, per trade, per annum.

http://www.derivalert.org/blog/?Tag=Tradeweb

List of CCPs applied for EU recognition

Last update 11August 2014

List of central counterparties (CCPs) established in non-EEA countries which have applied for recognition under Article 25 of Regulation (EU) No 648/2012 of the European Parliament and of the Council of 4 July 2012 on OTC derivatives, CCPs and trade repositories (TRs) (EMIR) ESMA lists below those CCPs established in non-EEA countries which have applied for recognition under Article 25 of EMIR

and which expressly agreed to have their name mentioned publicly.This list is not necessarily exhaustive and it remains subject to further updates. The list is provided for information purposes only and it is without prejudice to any future ESMA decision of the recognition of the applicant CCPs.

http://www.esma.europa.eu/system/files/list_of_applicants_tc-ccps_version_11_august_2014.pdf

China: SCH starts mandatory and client clearing

China: SCH starts mandatory and client clearing

On July 1, Shanghai Clearing House (SCH) started mandatory direct and client central clearing of RMB interest rate swaps (IRS). According to the SCH website, on the first day, SCH cleared 66 transactions with a notional amount of RMB 7.22 billion, among which 13 transactions were trades cleared on behalf of clients.

South Korea: KRX launches mandatory clearing for OTC derivatives

South Korea: KRX launches mandatory clearing for OTC derivatives

EffectiveJune 30, the Korea Exchange (KRX) started to provide a mandatory clearing service (Korean only) for Korea Won–denominated IRS contracts to meet the G20 mandate on OTC derivatives clearing. The KRX’s clearing service was previously offered to 35 members on a voluntary basis from March 3. During this period, the accumulated number of cleared transactions was 427 and accumulated notional amount was $11.5 billion (KRW 11.8 trillion as of June 26, 2014). As of June 27, 24 securities firms and 28 banks (12 domestic banks and 16 foreign banks) have submitted their applications for this mandatory clearing service and only two securities firms among these clearing members are general clearing members able to offer client clearing service. Going forward, all KRW-IRS contracts will be cleared through the KRX-CCP on a mandatory basis.