Skip to main content
Counterparty risk capital rules and balance sheet constraints are presenting banks with a tricky balancing act, argues fintech expert
Foreign exchange dealers have had to contend with the growing cost of trading with end-clients, whether through brokerage fees or capital requirements. This is also true for foreign exchange prime brokers, where increasingly constrained balance sheets have changed the economics of providing credit.
At the heart of this is the standardised approach to counterparty credit risk (SA-CCR), the framework used to calculate how much capital banks must hold against derivatives trades. As the rule looks at
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@fx-markets.com or view our subscription options here: https://subscriptions.fx-markets.com
You are currently unable to print this content. Please contact info@fx-markets.com to find out more.
You are currently unable to copy this content. Please contact info@fx-markets.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (clause 2.4), an Authorised User may only make one copy of the materials for their own personal use. You must also comply with the restrictions in clause 2.5.
If you would like to purchase additional rights please email info@fx-markets.com
Most read articles loading…
Back to Top
