Rely on the most comprehensive, up-to-date legal content designed and curated by lawyers for lawyers
Work faster and smarter to improve your drafting productivity without increasing risk
Accelerate the creation and use of high quality and trusted legal documents and forms
Streamline how you manage your legal business with proven tools and processes
Manage risk and compliance in your organisation to reduce your risk profile
Stay up to date and informed with insights from our trusted experts, news and information sources
Access the best content in the industry, effortlessly — confident that your news is trustworthy and up to date.
Find up-to-date guidance on points of law and then easily pull up sources to support your advice with Lexis PSL
With over 30 practice areas, we have all bases covered. Find out how we can help
Our trusted tax intelligence solutions, highly-regarded exam training and education materials help guide and tutor Tax professionals
Regulatory, business information and analytics solutions that help professionals make better decisions
A leading provider of software platforms for professional services firms
In-depth analysis, commentary and practical information to help you protect your business
LexisNexis Blogs shed light on topics affecting the legal profession and the issues you're facing
Legal professionals trust us to help navigate change. Find out how we help ensure they exceed expectations
Lex Chat is a LexisNexis current affairs podcast sharing insights on topics for the legal profession
Discuss the latest legal developments, ask questions, and share best practice with other LexisPSL subscribers
How would the creation of a recovery framework for central counterparty clearing houses (CCPs) achieve greater transparency and financial stability? Farid Anvari, Of Counsel at Baker & McKenzie, comments on proposals for loss distribution and recovery of a CCP after it has suffered member-default losses.
ISDA proposes new recovery framework for defaulting CCPs
A CCP Default Management, Recovery and Continuity paper proposes a framework for central counterparty clearing houses’ (CCPs) recovery and sets out the tools that can be used to re-establish a matched book following the default of one or more clearing members. Produced by the International Swaps and Derivatives Associations (ISDA), the paper outlines measures that are consistent with the recommendations made by the Committee on Payments and Market Infrastructures and the International Organisation of Securities Commission in October 2014.
The systemically important nature of several CCPs, along with the very large losses which CCPs can suffer relative to their capital, necessitates a formal framework for CCP recovery—particularly if taxpayers are not to bear a heavy burden for bailing them out. Ultimately, CCPs are essential to wholesale financial markets so a framework for dealing with CCPs which are at risk of failure and ensuring continuity of that CCPs’ services to the market would significantly improve financial stability.
ISDA has put forward a set of proposals for loss distributi
Access this article and thousands of others like it free by subscribing to our blog.
Read full article
Already a subscriber? Login
Emma is head of the Banking and Finance team and the Finance Group at LexisNexis®UK.
Emma has wide-ranging experience in derivatives and capital markets with a particular emphasis on credit derivatives and structured products. Emma qualified as a solicitor with Allen & Overy LLP, working in the derivatives and structured finance teams in both their London and Paris offices before gaining experience with Deutsche Bank AG (advising the foreign exchange prime brokerage desk) and Crédit Agricole CIB (advising the fixed income and derivatives desk) before joining LexisNexis®.
0330 161 1234