What rules are associated with derivatives and BL+C clearing?
EmiR and EmiR II - EmiR refit is relevant to the PF exemption
What financial instrument are PSAs natural holders of?
Why do PSAs hold derivatives naturally?
To manage their liabilities, interest rate and inflation sensitivities
What do PSAs naturally hold and why?
Government bonds - collateral for interest rate and inflation hedges
What did the 2009 Pittsburgh G20 agreement do in terms of clearing?
Incentivised central clearing of standardised OTC derivatives
What is the result of central clearing?
CCPs only accept cash as VM but Govt Bonds are broadly accepted as IM
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