EMIR: Difference between revisions

From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson
(Layout.)
imported>Doug Williamson
(Add link.)
 
(4 intermediate revisions by the same user not shown)
Line 1: Line 1:
''financial markets - regulation - infrastructure.''
''Financial markets - regulation - infrastructure.''


The European Market Infrastructure Regulation<ref> http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2012:201:0001:0059:EN:PDF</ref> (EMIR) became law within the European Union in 2012, although certain of its requirements came into force only after a period of delay.
The European Market Infrastructure Regulation (EMIR) became law within the European Union in 2012, although certain of its requirements came into force only after a period of delay.


The objective of EMIR is to reduce the risks posed to financial systems from the vast web of [[over the counter]] (OTC) derivative transactions and the large contingent credit exposures that may arise as a consequence.   
The objective of EMIR is to reduce the risks posed to financial systems from the vast web of [[over the counter]] (OTC) derivative transactions and the large contingent credit exposures that may arise as a consequence.   




The Regulation achieves this object by three significant requirements for:
The Regulation is designed to achieve this objective by three significant requirements for:


#Central clearing and margining of standardised OTC derivatives (with certain exemptions for Non-Financial Counterparties)
#Central clearing and margining of standardised OTC derivatives (with certain exemptions for Non-Financial Counterparties)
Line 16: Line 16:
* [[AIFMD]]
* [[AIFMD]]
* [[Buy-side firm]]
* [[Buy-side firm]]
* [[CCP]]
* [[Central counterparty]] (CCP)
* [[CFTC]]
* [[CFTC]]
* [[Clearing]]
* [[Clearing]]
* [[CSD]]
* [[Central securities depository]] (CSD)
* [[Derivative instrument]]
* [[Derivative instrument]]
* [[Dodd-Frank]]
* [[Dodd-Frank]]
* [[Dual reporting]]
* [[Dual reporting]]
* [[ESMA]]
* [[European Securities and Markets Authority]] (ESMA)
* [[European Union]]
* [[European Union]]
* [[FATCA]]
* [[FATCA]]
Line 34: Line 34:
* [[MiFID II]]
* [[MiFID II]]
* [[NFC]]
* [[NFC]]
* [[OTC]]
* [[Over the counter]] (OTC)
* [[Pension Scheme Arrangement]]
* [[Pension Scheme Arrangement]]
* [[RTS]]
* [[Regulation]]
* [[SEC]]
* [[Regulatory Technical Standard]] (RTS)
* [[SSR]]
* [[Securities and Exchange Commission]] (SEC)
* [[Trade repository]]
* [[Trade repository]]
* [[UK EMIR]]
* [[UK EMIR]]
Line 46: Line 46:


==External link ==
==External link ==
[https://www.fca.org.uk/markets/uk-emir UK EMIR - Financial Conduct Authority]
*[https://www.fca.org.uk/markets/uk-emir UK EMIR - Financial Conduct Authority]
 
 
===References===
<references />


[[Category:Accounting,_tax_and_regulation]]
[[Category:Accounting,_tax_and_regulation]]
[[Category:Corporate_financial_management]]
[[Category:Corporate_financial_management]]
[[Category:Risk_frameworks]]
[[Category:Risk_frameworks]]

Latest revision as of 04:19, 26 April 2023

Financial markets - regulation - infrastructure.

The European Market Infrastructure Regulation (EMIR) became law within the European Union in 2012, although certain of its requirements came into force only after a period of delay.

The objective of EMIR is to reduce the risks posed to financial systems from the vast web of over the counter (OTC) derivative transactions and the large contingent credit exposures that may arise as a consequence.


The Regulation is designed to achieve this objective by three significant requirements for:

  1. Central clearing and margining of standardised OTC derivatives (with certain exemptions for Non-Financial Counterparties)
  2. Reporting of all derivative transactions to a trade repository
  3. Risk mitigation measures for all non cleared derivatives including collateral exchange and confirmation and reconciliation procedures


See also


External link