On 27 November 2018, the Futures Industry Association (FIA) published a position paper on recommendations for central counterparty (CCP) risk management. The position paper makes recommendations in the following areas for CCP risk management, including:

  • membership criteria;
  • CCP governance of self-clearing members;
  • margin adequacy (particularly in low-liquidity markets and in respect of concentration risk and correlation risk);
  • regulatory oversight;
  • risk management of members by CCPs;
  • default management including design and testing; and
  • skin in the game.

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