1. Margin
  2. Margin
  3. Use of RMB-denominated Chinese Government Bonds as Margin for Derivatives Transactions

Use of RMB-denominated Chinese Government Bonds as Margin for Derivatives Transactions

Margin
Margin March 25, 2021
< 1  min.read

A large number of financial institutions in Asia-Pacific are expected to be brought into scope of phases five and six of the initial margin (IM) requirements for non-cleared derivatives in September 2021 and September 2022. As part of their preparations, market participants will need to know which high-quality liquid assets they can post as IM and understand any regulatory or legal impediments that may affect their choice.

To help with that analysis, the China Central Depository & Clearing Co., Ltd. and ISDA have developed a whitepaper that analyzes the issues relating to use of Chinese government bonds as initial margin.

Click on the PDF below to read the paper in full.

Tags:

, , ,

Documents (1) for Use of RMB-denominated Chinese Government Bonds as Margin for Derivatives Transactions

Latest

Maintaining Focus on Basel III Endgame Recalibration

In its original form, the US Basel III endgame proposal would have resulted in disproportionate increases in capital for trading book activities, forcing banks to make difficult choices about their participation in certain businesses. After two-and-a-half years, a revised proposal...

IRRBB Management in EMDEs

Interest rate risk in the banking book (IRRBB) has become a growing priority for banks and regulators in emerging market and developing economies (EMDEs). As many of these countries face monetary tightening cycles and ongoing macroeconomic volatility, bank balance sheets...

Response to CPMI-IOSCO on Consultation

On February 5, ISDA and FIA responded to the Committee on Payments and Market Infrastructures (CPMI) and International Organization of Securities Commissions (IOSCO) consultation on the management of general business risks and general business losses by financial market infrastructures (FMIs)....