Senior financial supervisors from seven countries (collectively, the Senior Supervisors Group) today issued a report that assesses how firms manage their credit default swap activities related to the settlement of credit derivatives transactions terminated by the occurrence of a credit event.
This report, Observations on Management of Recent Credit Default Swap Credit Events , summarizes a review that the Senior Supervisors Group initiated in December 2008. The observations in the report are based on discussions with senior members of selected institutions, comprising major dealers, buy-side firms, service providers and an industry association.
Surveyed participants reported that recent credit events were managed in an orderly manner, with high participation rates and no major operational disruptions or liquidity problems.
This review was conducted to support the priorities established by the Financial Stability Forum, including enhancing the infrastructure for over-the-counter derivatives markets and encouraging market participants to act promptly to ensure that the settlement, legal and operational infrastructure underlying these markets is sound.
You Might Also Like...
- FIA and FIA Japan Sign Formal Affiliation Agreement
- FIA Welcomes Proposed Guidance on Central Counterparty Risk and Pushes for more Transparency
- Eurex Supports Market Participants and Regulatory Change with Total Return Futures
- Harmonisation of Critical OTC Derivatives Data Elements (other than UTI and UPI) - Second Batch, Consultative Report Issued by CPMI-IOSCO
- eClerx and FIA Tech Announce Strategic Partnership
- DTCC Appoints Tim Keady to Lead Firm's DTCC Solutions Businesses
- Eris Adds Live Points on the Yield Curve
- Abacus Group Announces Major Expansion in London