THE FUTURE OF CLEARING: How Will It Be Altered?
As a raft of new regulations is poised to affect people in the finance industry, companies must be aware of how the alterations will affect clearing.
New laws will alter how post-trading, pre-settlement credit exposures will be managed, pertaining to processes such as reporting/monitoring, risk margining, tax handling and failure handling.
Therefore, businesses must guarantee that they are aware of the coming laws, and should plan ahead in order to alter their operations accordingly.
The rule that will have the biggest impact in Europe is the European Market Infrastructure Regulation (EMIR), imposing new laws that businesses will need to adapt to effectively.
European Union officials have introduced a glut of new measures, covering a wide number of financial practices, including clearing.