The Basel Committee on Banking Supervision and IOSCO have published a second consultative paper on margin requirements for non-centrally cleared derivatives. Among the questions raised by the paper are those relating to:
1. The treatment of physically-settled foreign exchange (“FX”) forwards and swaps under the framework,
2. The ability to engage in limited re-hypothecation of collected initial margin,
3. The proposed phase-in framework, and
4. The adequacy of the conducted quantitative impact study (“QIS”).
Comments Due: March 15, 2013. Comments may be submitted by email.
Click here to view the Second Consultative Document in full (links externally to IOSCO website).