On March 3, ISDA, the Alternative Investment Management Association and the Investment Association sent a follow-up letter to the Bank of England and the Prudential Regulation Authority about making permanent the UK European Market Infrastructure Regulation temporary exemption for certain equity options from exchanging initial margin and variation margin.
In the letter, the associations highlight that single stock equity options and index equity options play a significant part in the real economy and are used for multiple purposes aside from transactions between dealers, including hedging exposure to the purchase price in the context of a merger and acquisition transaction or share buy-back by companies. The associations’ members believe the rationale for the original temporary exemption remains valid and that alignment with the US is important to avoid disruption to cross-border business.
The associations request that UK authorities communicate their intentions as soon as possible to avoid the damaging effects of a cliff edge on January 4, 2024.
Documents (1) for Letter to PRA and BOE on UK EMIR Equity Option Exemption
Latest
Response to EC Call for Evidence on Tax Omnibus
On March 30, ISDA, the International Securities Lending Association and the Association for Financial Markets in Europe responded to the European Commission’s (EC) call for evidence on the tax omnibus. The associations argue that inconsistent interpretation of “beneficial ownership” among...
Managing Risk for Australian Superannuation Funds
Assets managed by the Australian superannuation sector reached A$4.5 trillion in December 2025, equivalent to around 160% of Australia’s GDP. Given its size, the sector has rapidly expanded its global footprint, with the share of offshore investments growing as a...
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.
Next Steps on a Much Improved Basel III Endgame
Publication of the revised Basel III endgame proposal earlier this month marks an important step towards completion of the global capital reforms, giving banks much-needed clarity on the likely calibration of the rules in the US. The new proposal is...