On February 1, 2024, ISDA published a comparison of available US Treasury (UST) clearing models, as well as models for clearing repos at other central counterparties (CCPs) globally and models for clearing derivatives. This comparison is intended to help market participants understand existing and potential new clearing models for UST cash and repo transactions as they implement the US SEC’s recent rules requiring clearing of such transactions.
Since that time, ISDA updated the comparison to reflect new, and recent changes to existing, clearing models offered by the Fixed Income Clearing Corporation (FICC). This year, ISDA also added new clearing models that have been proposed by CME Securities Clearing (CMESC).
ISDA intends to continue to update this comparison matrix as new clearing models across the industry are proposed and finalized.
Since that time, ISDA updated the comparison to reflect new, and recent changes to existing, clearing models offered by the Fixed Income Clearing Corporation (FICC). This year, ISDA also added new clearing models that have been proposed by CME Securities Clearing (CMESC) and ICE Clear Credit (ICC).
PLEASE NOTE: You may need to download the comparison matrices and save them as PDFs to your respective devices in order to be able to “zoom in” to the relevant comparison matrix to a level that is readable. We recommend viewing the matrices using adobe which allows for higher resolution when zooming in.
Documents (2) for ISDA Clearing Model Comparison
Latest
ISDA Paper on FRTB Rules in Brazil
On March 24, ISDA submitted a paper to Banco Central do Brazil’s (BCB) on its implementation of the revised market risk framework under the Fundamental Review of the Trading Book (FRTB), which represents an important step toward strengthening prudential standards...
IQ Interview with Mark Uyeda
Mandatory clearing of US Treasury securities is due to begin at the end of this year under rules finalized by the Securities and Exchange Commission (SEC) in 2023. SEC commissioner Mark Uyeda talks to IQ about the benefits of clearing...
Response to FCA on CFI Codes for Transparency
On March 19, ISDA responded to Chapter 3 of the UK Financial Conduct Authority’s (FCA) Quarterly Consultation CP26/8 on transparency requirements for financial instruments under Market Conduct Sourcebook (MAR) 11. Sections 3.11-3.13 of the consultation paper explain a discrepancy between...
Why We Need Safe and Efficient SFT Markets
Securities financing transactions (SFTs) play a vital role in fostering liquidity, mobilizing collateral and supporting the smooth functioning of derivatives markets. But during periods of stress, secured funding markets often come under pressure just when they’re needed most, with reduced...