SA-CCR

TriOptima announced the completion of its first triBalance FX cycle optimizing exposures for clients who calculate their leverage ratio capital requirements under the Standardized Approach for Measuring Counterparty Credit Risk…

Risk: BofA becomes first US bank to adopt SA-CCR

September 8, 2020

Anna Reitman

BAML, SA-CCR

Bank of America has switched to a new leverage regime 18 months before US banks are required to move, dramatically cutting its total exposure – but finding itself alone among…

Looking for better market information? Finadium runs 3-6 months ahead of the news cycle

June 30, 2020

Central banks, Collateral Management, Prime Brokerage, Repo, Securities Lending

BNPP, Central Bank Digital Currencies, Central Banks, Deutsche Bank, Prime Brokerage, SA-CCR, Securities Lending, topstory

Finadium content often runs three to six months ahead of the popular news cycle. Here’s what we’ve published for clients lately and here’s what we’ve seen months later. Continue reading

US regulators speed up adoption of SA-CCR, extend CECL

March 27, 2020

CECL, Federal Reserve, SA-CCR

The federal bank regulatory agencies today announced two actions to support the U.S. economy and allow banking organizations to continue lending to households and businesses: Allowing early adoption of a…

The door opens for an SA-CCR in securities finance

January 16, 2020

Derivatives, Pro-cyclicality, Regulatory

ESRB, Margin, OTC derivatives, SA-CCR, securities finance, topstory

The European Systemic Risk Board published last week an innocuously titled document called “Mitigating the procyclicality of margins and haircuts in derivatives markets and securities financing transactions“. The early pages,…

ESRB proposes part of an SA-CCR for securities financing transactions

January 9, 2020

ESRB, Haircuts, margins, SA-CCR, securities financing transactions

The European Systemic Risk Board (ESRB) has today published a report on mitigating the procyclicality of margins and haircuts in derivatives markets and securities financing transactions. The report expands on…

US adoption of SA-CCR means easing for derivatives clearers and incremental liquidity for big banks

November 21, 2019

Basel III, Derivatives, Federal Reserve, Regulatory, US

Current Exposure Method, SA-CCR, topstory, US

You could hear the collective sigh of relief: at last US regulators have issued final rules for adopting the Standardized Approach for measuring counterparty credit risk (SA-CCR). Here’s a review…

US regulators adopt SA-CCR

November 19, 2019

SA-CCR, US

Three federal bank regulatory agencies on Tuesday jointly announced a final rule updating how certain banking organizations are required to measure counterparty credit risk for derivative contracts under their regulatory…

Finadium Big Ideas Quarterly Q3 2019 now online

August 6, 2019

Investments, Regulatory, Securities Lending, Technology

Common Domain Model, ESG, SA-CCR, Securities Lending, topstory

Our quarterly presentation on research, news and events. Continue reading

Winners and losers from the Basel Committee’s Leverage Ratio changes on margin and window-dressing

July 1, 2019

Basel III, Regulatory

Basel Committee, Leverage Ratio, OTC derivatives, Repo, SA-CCR, securities financing transactions, topstory

The Basel Committee on Banking Supervision (BCBS) issued changes to the Leverage Ratio last week that will have impacts to the derivatives and securities finance industries. Like any regulation, this…

Time for an SA-CCR in securities finance

May 23, 2019

Regulatory

Regulation, SA-CCR, securities finance, topstory

While the focus of recent regulatory conversations has been on derivatives, a missing part of the conversation is support for physical markets through financing activities. Regulators have consistently said that…

Finadium: The US SA-CCR, Derivatives and Securities Finance Competition

May 13, 2019

Basel III, Regulatory, US

Basel III, CEM, SA-CCR, securities finance, topstory

New US balance sheet rules for OTC derivatives come into force in January 2020. The US Standardized Approach for measuring counterparty credit risk, better known as SA-CCR, applies Basel III…

Industry associations ask for revisions to US SA-CCR plans

March 18, 2019

SA-CCR, US

ISDA, SIFMA, ABA, BPI and FIA Comment on Proposed Standardized Approach for Calculating Exposure Amount of Derivatives Contracts Washington, DC, March 18, 2019 – The International Swaps and Derivatives Association,…

World Federation of Exchanges responses to Basel Committee’s Leverage Ratio Consultation

January 18, 2019

Basel Committee, client clearing, Leverage Ratio, SA-CCR, WFE

The World Federation of Exchanges (“WFE”), the global industry group for exchanges and CCPs, has published its response to the Basel Committee on Banking Supervision’sconsultation on the leverage ratio treatment…

The US SA-CCR proposal on collateral: generally speaking, good news for the markets (Premium)

November 1, 2018

Collateral Management, Regulatory, US

collateral, SA-CCR, topstory, US regulators

US regulators have issued a Notice of Proposed Rulemaking (NPR) for the Standardized Approach for measuring counterparty credit risk” (SA-CCR) in derivatives contracts. This long-awaited proposal shows that US regulators…

US regulators issue Notice of Proposed Rulemaking for SA-CCR

October 30, 2018

Federal Reserve, SA-CCR

Three federal banking agencies on Tuesday invited public comment on a proposal to update their standards for how firms measure counterparty credit risk posed by derivative contracts under the agencies’…

CCP12 supports SA-CCR, warns against punitive charges to clearing firms

August 22, 2018

CCP12, SA-CCR

Position of CCP12 in regards to the Basel III Leverage Ratio Framework CCP12 would like to emphasize again its reservations in regards to the Basel III Leverage Ratio (LR) and…

Don’t delay: it’s time to adopt SA-CCR

May 7, 2018

Basel III, Regulatory

CEM, SA-CCR, topstory

The Standardised Approach to measuring counterparty credit risk (SA-CCR) was proposed in 2014 by the Basel Committee as an alternative to the Current Exposure Method (CEM) for measuring derivatives risk.…

Fed’s Powell says recalibrated Leverage Ratio, no capital for collateral and move to SA-CCR all on the table for CCP clearing benefits

June 24, 2017

CCPs, Federal Reserve, Leverage Ratio, Powell, SA-CCR

Central Clearing and Liquidity Governor Jerome H. Powell At the Federal Reserve Bank of Chicago Symposium on Central Clearing, Chicago, Illinois — Having pushed for the move to greater central…

OCC Says Implementation of SA-CCR Important For Liquid and Orderly Listed Options Markets

April 25, 2017

OCC, SA-CCR

By John Fennell, OCC Executive Vice President and Chief Risk Officer April 25, 2017 As the agency for all U.S. options exchanges and in our role as a Systemically Important…

How much regional disparity is there really in Basel III adoption? (Premium)

November 1, 2016

Asia, Basel III, Europe, US

Basel III, LCR, Leverage Ratio, non-cleared margin, NSFR, SA-CCR, topstory

We talk a lot about how different regions are at different points of adoption for Basel III. It’s easy to point out specific categories like the Leverage Ratio where some…

Finadium: Regulatory Costs of OTC Derivatives vs. Securities Finance Transactions

December 10, 2015

Basel III, Delta One, Derivatives, Hedge Funds, Prime Brokerage, Regulatory, Repo, Securities Lending

Basel III, Leverage Ratio, Liquidity Coverage Ratio, OTC derivatives, Repo, SA-CCR, securities finance transactions, Securities Lending, topstory

This Finadium report evaluates regulatory costs in order to determine whether internal balance sheet treatment will push the market towards OTC derivatives in place of Securities Finance Transactions (SFTs, including…

Will Basel III rules mean that seclending and repo get swallowed up by OTC derivatives? (Premium Content)

August 11, 2015

Basel III, CCP, Derivatives, Repo, Securities Lending

Basel III, Comprehensive Approach, credit risk, SA-CCR, topstory