The European Supervisory Authorities (ESAs) have been made aware of operational challenges in meeting the deadline of 1 March 2017 for exchanging variation margin. Based on the material presented to the ESAs, the implementation appears to mainly pose a challenge for smaller counterparties. The 1 March 2017 deadline is part of a globally agreed framework, which aims at ensuring safer derivatives markets by limiting the counterparty risk from derivatives trading partners.

Link to Full Press Release - Click here.