In a podcast, a panel explores the evolution of the CCP landscape for OTC derivatives and the operational challenges firms face in adapting post-trade processes to meet the requirements of a future CCP clearing environment.
The CCP environment for OTC derivatives is only getting bigger, broader and more complex. Regional CCPs are expected to launch across the globe to meet the G20 commitments, whilst existing CCPs aim to extend the list of clearable swaps to include other asset classes, such as foreign exchange. These developments, combined with legal uncertainty with the rules that will govern central clearing under EMIR and Dodd-Frank, introduce operational and technological challenges to financial institutions that need to establish post-trade processes to support the current and evolving clearing paradigm.
In an interactive webinar, a panel of operations and clearing experts reviews the main initiatives that will shape the CCP for OTC landscape in the next 12 months and explain how market participants are transforming post-trade processes in anticipation of these changes but also to support current circumstances for central clearing. Specifically, the panel will review all changes to post-trade processes required to support central clearing, including collateral management from collateral allocation to cross-netting, and collateral related-regulatory requirements, as well as regulatory reporting and changes to the settlement and accounting of clearable trades.
Topics to be covered include:
- Globalization of CCPs – new CCPs in Asia/Pacific and other regions and what this means to a global financial institution from a processing perspective
- Extension of ‘clearable swaps’ to include additional asset classes, such as FX – operational challenges and opportunities in clearing more types of swaps
- Update on regulatory reform within EMIR, Dodd-Frank and other regions and the impact on central clearing
- Collateral management – challenges in establishing collateral allocation, cross-netting and margin management processes within a new and evolving CCP environment; evaluation of changes to collateral segregation
- Regulatory reporting – the requirements and technological support required to report as needed
- Settlement and accounting – how to adjust back office processes to cope with central clearing and growth in volumes and complexity
Panel Speakers:
- Mark Cox, Director, CME Clearing Solutions
- Andrew Coggins, Independent Consultant
- Lee McCormack, Executive Director, OTC Clearing, Morgan Stanley
- Ila Eckhoff, Managing Director, Derivative Initiatives, Oversight and Control at BlackRock Inc
- John Omahen Vice President – Post Trade Derivatives Solutions, SunGard
- Moderated by Julia Schieffer, CEO & Editor in Chief, DerivSource
By the end of this hour-long podcast the audience will have a better understanding of the current initiatives behind the evolution of the CCP landscape and the impact these future changes will have on post-trade processing. More importantly, the audience will also gain practical insight into the current challenges its peers face and how they plan to overcome operational and technological challenges to establish an efficient, streamlined and future-proof post-trade operation for centrally cleared OTC derivatives.
