ISDA-FIA Response to Proposed SEC Rules on Clearing Agency Intraday Margin and Recovery/Wind-down Plans

On July 17, ISDA and FIA submitted a joint response to the US Securities and Exchange Commission’s (SEC) proposed rulemaking regarding clearing agency resilience and recovery and wind-down plans.

The associations generally support the proposed changes aimed at enhancing the regulatory framework for recovery and wind-down plans and intraday margin processes of clearing agencies. They suggest that more prescriptive guidance is necessary for intraday margin and recovery and wind-down plans to provide clear expectations for clearing members and their clients. They emphasize the importance of predictability of margin calls and advocate for increased transparency of initial margin models. Additionally, they stress the need for credible recovery plans to ensure financial stability, and they call for clear rules on non-default losses and compensation for clearing participants.

The response also addresses the need for a second tranche of clearing agency own-funds capital and emphasizes the importance of including procedures for participants to move positions during orderly wind-down in the proposed rules.

Documents (1) for ISDA-FIA Response to Proposed SEC Rules on Clearing Agency Intraday Margin and Recovery/Wind-down Plans

ISDA response to ESMA MiFIR Review Consultation

On July 11, ISDA submitted a response to the European Securities and Markets Authority's (ESMA) fourth package of Level 2 consultation under the Markets in Financial Instruments Regulation Review (MiFIR), on transparency for derivatives, package orders and input/output data for...

ISDA Presents Lock-Up Agreement Proposal

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