Reg IM – Is Wave 4 playing second fiddle to Brexit?
In our recent article on the regulatory requirements for Initial Margin (“IM”) segregation we posed the question, “Are you Ready?” There is a view held in some quarters that preparation work in readiness for Wave 4 can be done from April onwards after Brexit work is completed, notwithstanding potential delays because of current uncertainty over the […]
Reg IM – Are You Ready?
In our previous articles on the regulatory requirements for Initial Margin (“IM”) segregation we highlighted some of the challenges faced by market participants in developing compliant solutions and shared our 10 Point Readiness Health Check. As Wave 4 looms large in 2019 now is the time for buy-side organisations to ensure that the following key […]
Reg IM – No need to panic
In our last article on the regulatory requirements for Initial Margin (“IM”) segregation we highlighted some of the challenges faced by market participants in developing compliant solutions. As further progress has been made in readying solutions for Wave 3 captives, there are some key learning points that need to be adopted by buy-side organisations in […]
Initial Margin Regulation for the Buy-side
Summary The regulatory requirements for Initial Margin (“IM”) segregation, linked to non-cleared derivatives, came into force in 2016. The phased implementation schedule first affected those most active in the OTC market, followed by a greater and more diverse range of counterparties. Of the five waves scheduled, Waves 1 and 2 are complete, involving mostly sell-side […]
Agile Steps on the 1,000 Mile Journey
“A journey of a thousand miles begins with a single step…but it helps if it’s bold and in the right direction!” The insurance industry is at an inflection point – the digital challenge and changing needs of a younger generation mean that insurers need to adapt quickly to the demands of tomorrow’s customers or risk […]
The BPA Collateral Conundrum
“Does the drive to collateralise more bulk annuity transactions lead to suboptimal outcomes for customers, pension trustees and insurers?” Bulk purchase annuity (“BPA”) business has grown significantly in the last 5 years, driven recently by pension reforms enacted in 2014 that had a significant impact on the individual annuity market. Recent market data shows that […]
Alternative Asset Investment
Context The ability for an organisation to be successful in the Bulk Annuities market is dependent on its ability to price it’s offerings competitively. Effective pricing is enabled by having an ability to invest in alternative assets that have cash flow profiles suitable for matching adjustment eligibility whilst delivering higher yields than could be obtained […]