Swaps central clearing for asset managers: How clear is it?

Abstract

The Asset Management Group (AMG) of the Securities Industry and Financial Markets Association (SIFMA) provides a summary of ten major concerns facing its asset manager members as they transition to mandatory central clearing for most interest rate swaps and credit index swaps on behalf of their clients. Concerns covered include documentation requirements, counterparty risk, treatment of collateral, margin requirements, changes in operational workflows, clearing certainty, allocation of trades, backloading and uncertainty of future global mandates.