Originally appeared in MiFID Monitor
The New York Federal Reserve has organised a meeting this week with market players involved in the credit derivatives sector, including representatives from both the buy side and the sell side, to discuss the various industry initiatives to establish credit default swap (CDS) clearing houses.
It is expected that the regulator will back the creation of multiple solutions rather than a single player in the clearing space. The various initiatives to establish clearing houses in the CDS space have been gaining momentum over the last couple of months, including investment bank-backed the Clearing Corporation (TCC), which recently finalised the date for the launch of its platform as before the end of the year.
