ISDA has published a new research paper that analyzes recent trends in the size and composition of over-the-counter (OTC) derivatives markets, using the latest data from the Bank for International Settlements (BIS) and ISDA.
According to the BIS, OTC derivatives notional outstanding increased during the first half of 2018, driven largely by a rise in short-term US dollar-denominated interest rate derivatives (IRD) contracts. This increase in notional outstanding can also be seen in swap trading volumes in the US, as trading in short maturity US dollar IRD products rose significantly.
While notional outstanding of OTC derivatives increased, the gross market value of these contracts declined. Gross credit exposure – gross market value after netting – also declined to its lowest level in 10 years. Following the implementation of the new margin rules for non-cleared derivatives, more and more of that gross credit exposure is collateralized.
Click on the PDF below to read the full report.
Documents (1) for Key Trends in the Size and Composition of OTC Derivatives Markets
Latest
Updated OTC Derivatives Compliance Calendar
ISDA has updated its global calendar of compliance deadlines and regulatory dates for the over-the-counter (OTC) derivatives space.
A Welcome Extension on US Treasury Clearing
Yesterday, the US Securities and Exchange Commission (SEC) announced it would delay the implementation of mandatory clearing for US Treasury securities by one year. That means eligible cash transactions will now need to be cleared by December 31, 2026, with...
ISDA and FIA Response on Pre-Hedging
On February 21, ISDA and FIA responded to the International Organization of Securities Commissions (IOSCO)’s consultation report on pre-hedging. In the response, the associations highlight that an appropriate, consistent and well-understood framework for pre-hedging is important for safe and efficient...
Treasury Clearing: Scott O'Malia Welcoming Remarks
ISDA Treasury Clearing Panel Frankfurt February 25, 2025 Welcoming Remarks Scott O’Malia ISDA Chief Executive Officer Good afternoon and welcome to this ISDA panel on US Treasury clearing. Thanks for joining us today for what I’m sure will be...