Financial Crisis News Center

McCreevy Vets Counterparty Clearing Facility for Credit Default Swaps

Heeding the urgent call of European Commissioner for the Internal Market Charlie McCreevy, the derivatives industry has committed to implement the clearing of credit default swaps on a European central counterparty (CCP), pending a more complete review of the whole derivatives area. The commissioner considers that clearing of credit default swaps on a CCP in the EU essential for financial stability and oversight. The International Swaps and Derivatives Association and the European Banking Federation agreed to immediately engage in a dialogue to resolve all their outstanding technical issues.

PWG Private-Sector Committees Issue Best Practices for Hedge Funds

The two private-sector committees established by the President's Working Group on Financial Markets (PWG) released their finalized sets of best practices for asset managers and hedge fund investors in an effort to increase accountability for participants in this industry.