The Financial Stability Board (FSB), the Committee on Payments and Market Infrastructures (CPMI), the International Organization of Securities Commissions (IOSCO) and the Basel Committee on Banking Supervision (BCBS) have co-published three guidance documents and two reports as part of their work on central counterparty (CCP) resilience, recovery and resolvability.
The three guidance documents are:
- CCP resilience guidance – CPMI and IOSCO provide further guidance on the principles and key considerations of the Principles for financial market infrastructures regarding financial risk management for CCPs;
- CCP recovery guidance – CPMI and IOSCO have updated their 2014 guidance on recovery for financial market infrastructures to provide clarifications in four areas: (i) operationalisation of recovery plans; (ii) replenishment of financial resources; (iii) non-default related losses; and (iv) transparency with respect to recovery tools and how they would be applied; and
- CCP resolution guidance – the FSB has finalised guidance which complements the FSB Key Attributes of Effective Resolution Regimes by providing guidance on implementing the Key Attributes in resolution arrangements for CCPs.
The joint reports are:
- interdependencies study – the BCBS, CPMI, FSB and IOSCO have completed their first joint comprehensive data collection covering 26 CCPs from 15 jurisdictions that analyses the interdependencies between CCPs and their clearing members and other financial service providers; and
- implementation report – the chairs of the FSB standing committee on supervisory and regulatory cooperation, the FSB resolution steering group, CPMI, IOSCO and BCBS provide an update on the work undertaken to complete the key substantive priorities set out in their joint workplan.