Opening remarks of Walt Lukken, President and CEO of FIA, at the International Derivatitves Expo in London on 20 June 2023.
CONTINUE READINGIndustry leaders at FIA's IDX conference acknowledged the continued resilience of global derivative markets amid recent disruptions, but noted several new areas of improvement and opportunity as the industry looks to the future with a focus on market liquidity.
CONTINUE READINGThe recent signing of a memorandum of understanding between UK and the EU financial regulators is a step forward in improving coordination between the two sides and could pave the way for discussions on "thornier" issues such as equivalence, said panellists at FIA's International Derivatives Expo.
CONTINUE READINGStarting in April, all direct participants on Eurex will be required to comply with a new requirement to flag all orders generated by algorithmic trading with a distinct identification key.
CONTINUE READINGFIA EPTA Executive Committee elects Alistair McGrath as new Chair
CONTINUE READINGWorldwide volume of exchange-traded derivatives reached 10.21 billion contracts in May. This was up 27.7% from April 2023 and up 56.1% from May 2022.
CONTINUE READING"Cleared derivatives markets are truly global and know no boundaries, so FIA is pleased to see this MoU as a tangible sign of the commitment between the EU and UK to work together and usher in a renewed era of cooperation," said FIA President and CEO Walt Lukken.
CONTINUE READINGFIA EPTA members welcome the opportunity to respond to HM Treasury’s CP on the Future regulatory regime for Environmental, Social, and Governance (ESG) ratings providers. FIA EPTA members welcome the actions and responsibilities taken by the UK Government and HMT and believe that regulation of ESG rating providers is important and needed to build trust in ESG data and products and help (end)investors make meaningful investment decisions.
CONTINUE READINGFIA EPTA members believe that exchange-traded derivatives (ETDs) are a key component of mature secondary markets. The recent growth in demand for listed ESG derivatives demonstrates that these products are a core component of sustainable investment strategies, especially since the availability of liquid and transparent derivatives significantly reduces funding and financing costs for equity and bond issuers in primary markets. The proposed approach by the ESAs would unduly disincentivise the use of derivatives in the affected financial products since any exposures to derivatives could not be counted toward the Taxonomy-alignment ratio. This would make it more difficult for end-users to use ETDs for managing their financial risks and in the process undermine the goal of having safe, liquid, and efficient markets that can support the green transition.
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