Will mandatory stays on defaults decrease confidence in securities finance? (Premium)

A new rule approved by the Federal Reserve ensures that counterparties can’t terminate derivatives contracts (QFCs) on large banks that that are in default or a resolution process. A proposal from the European Commission wants a moratoria on termination of derivatives for banks that are in default or are heading that way. The same rules apply to securities finance. Will mandatory stays change market behavior in selecting counterparties?
This content requires a Finadium subscription. Articles with an unlocked symbol can be accessed with free registration. Log in or create a free account by signing up here..

Related Posts

Previous Post
What will it take to get Excel off the capital markets desktop? (Premium)
Next Post
Federal Reserve publishes paper on fintech and financial innovation

Fill out this field
Fill out this field
Please enter a valid email address.


Reset password

Create an account