European Commission publishes inconclusive report on possible clearing exemption for trades resulting from PTRR services

Article summary

The European Commission has published a report to the European Parliament and the Council of the EU on whether trades that directly result from post-trade risk reduction services (PTRR services) should be exempted from the clearing obligation for OTC derivatives under EU EMIR. The Commission says further analysis is required of a number of issues, including the definition of PTRR services and the risk of the circumvention of the clearing obligation, to produce a more comprehensive and well-rounded assessment of the issues. This could feed into the general EU EMIR assessment report, scheduled for 18 June 2024.