Recent regulations significantly increased collateral requirements for cleared trades. This webinar, presented by Dmitry Pugachevsky, Quantifi, explores the different capital costs arising from clearing and compares them with the costs associated with OTC trades
Agenda
- IMC - cost of funding Initial Margins
- VMC - cost of funding Variation Margins
- OTC trade profitability
- Analysis of total cost of clearing
- Comparison with OTC costs
- Reasons OTC trading will continue
- Converging between OTC and clearing fund costs
Recommended Whitepapers and Articles
Whitepaper: Cost of Trading and Clearing OTC Derivatives in the Wake of Margining
A First View on the New CVA Risk Capital Charge
Identifying Liquidity Risk for Financial Stability
Challenges in Implementing a Counterparty Risk Management Process