| Author (Person) | Grant, Jeremy |
|---|---|
| Series Title | Financial Times |
| Series Details | 3.10.11 |
| Publication Date | 03/10/2011 |
| Content Type | News |
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The biggest users of derivatives, including banks and asset managers, have warned the European Commission in the autumn of 2011 that imminent reform of derivatives markets risks 'embedding lack of choice' and call for the business of clearing to be opened up to competition. The call, in a letter to Michel Barnier, EU Commissioner for the Internal Market, marks a ratcheting up of efforts to challenge the status quo in the clearing of derivatives, in particular exchange ownership of clearing houses in an integrated 'vertical silo'. The letter was signed by the British Bankers Association, the International Swaps and Derivatives Association and the Association for Financial Markets in Europe, all of which represent banks. In the event the Council of the European Union was able to issue a Press Release on the 4 October 2011 after a discussion between EU Member States representatives on the topic at an Ecofin Council meeting which stated: The Council today set out its position with a view to negotiations with the European Parliament on a draft regulation aimed at increasing transparency and reducing risk in the over-the-counter2 (OTC) derivatives market ... The compromise proposed by the Presidency allows room for further technical work, in the context of trilogue negotiations with the European Parliament, on how to negotiate and bring into force arrangements with third countries. |
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| Subject Categories | Business and Industry |
| Countries / Regions | Europe |
