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Jan 06, 2016

Eurex Clearing

Byron Baldwin: Cross Margining of Listed Derivatives and OTC IRS & CCP Cleared IRS Switches

In his latest article, Byron Baldwin, Senior Vice President, OTC Clearing at Eurex Clearing, refers to the mandatory OTC Clearing timetable now finalized for Europe by ESMA and analyses why the efficiencies of each CCP IRS offering and CCP IRS Switches will undoubtedly increase. In his opinion banks will seek to minimize capital and funding costs via reduced initial margin requirements, default fund contributions and capital regulatory requirements.