#cross-margining

[rwatimes]

SEC, CFTC seek input on unified portfolio margin rules across securities and derivatives

The SEC and CFTC have opened a public comment process on aligning portfolio margin rules across securities and derivatives as crypto derivatives markets continue to expand.

➤ The SEC and CFTC are seeking public input on aligning portfolio margin rules for securities and derivatives to reduce market fragmentation and unlock liquidity. ➤ This initiative aims to allow offsetting positions across different markets to be considered together for margin requirements, potentially lowering collateral needs. ➤ The move reflects the growing expansion of crypto derivatives markets and the need for coordinated regulatory oversight across diverse asset classes.

[rwatimes]

SEC and CFTC Request Public Input on Unified Cross-Asset Margin Rules

The US Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) have launched a joint public consultation focused on aligning portfolio margin rules across securities and derivatives markets. The agencies say the goal is to reduce fragmentation bet...

➤ The SEC and CFTC are jointly seeking public input on aligning cross-asset margin rules to reduce fragmentation between securities and derivatives markets. ➤ The proposed changes aim to allow for portfolio-based margining, potentially lowering collateral requirements and increasing market liquidity, especially for hedged strategies. ➤ This initiative is particularly relevant given the growth of crypto derivatives and the need to harmonize regulatory frameworks across different asset classes and jurisdictions.

[rwatimes]

5 Insightful Analyst Questions From CME Group’s Q1 Earnings Call

CME Group’s first quarter was marked by significant volume expansion across all major asset classes, yet the results fell short of Wall Street’s revenue and ...

➤ CME Group's Q1 earnings showed strong volume growth across asset classes but missed revenue expectations, leading to a negative market reaction. ➤ Analysts questioned the impact of tokenized treasury collateral, stablecoin initiatives, and the sustainability of market data revenue. ➤ Future focus areas include scaling 24/7 crypto trading, tokenized settlement solutions, and cloud migration progress.

[rwatimes]

DTCC, CME Group secure regulatory approvals to launch expanded US Treasury cross-margining arrangement

Beginning April 30, DTCC and CME Group will extend the benefits of cross-margining to end-user clients of dually registered broker/dealers and futures commission merchants (FCMs).

➤ DTCC and CME Group have received regulatory approval from the SEC and CFTC to expand their US Treasury cross-margining arrangement. ➤ This expansion will extend capital and margin efficiencies to end-user clients trading US Treasury securities and interest rate futures, reducing margin requirements and freeing up capital. ➤ The enhanced arrangement aims to improve liquidity and support more effective risk management for market participants, especially with the increasing adoption of centrally cleared US Treasury activity.