ESMA chair urges changes to transparency regime for single-name CDS and standardised OTC derivatives

Article summary

The chair of the European Securities and Markets Authority (ESMA), Verena Ross, has written a letter to the European Commission, the European Parliament and the Council of the EU regarding the current lack of transparency in the EU for over-the-counter (OTC) derivatives, notably single-name credit default swaps (CDS). According to Ross, ESMA remains convinced of the need to further improve the MiFIR requirements on trade transparency, notably on post-trade transparency for OTC derivatives, as ESMA recommended in its 2020 MiFIR review report on the transparency regime for non-equity instruments.