More Clarity Needed Over Commodities Clearing in Europe
By Gillian Carr
Published November 8 2011 Risk
All signs point towards the growing trend of a majority-cleared over-the-counter commodity derivatives market, as European regulators follow the Group of 20's (G-20) mandate calling for all standardised OTC derivatives contracts "to be traded on exchanges or electronic trading platforms, where appropriate, and cleared through central counterparties by end-2012 at latest. Non-centrally cleared contracts should be subject to higher capital requirements".
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