- New regulations under Title VII of Dodd-Frank
have increased the clearing time and margin for standardised
- Given the blurred distinction between
standardised swaps and futures, when possible futures are
being used as an alternative to cleared swaps;
- The gaps between standardised swaps, un-
standardised swaps and futures are being used as a means to
find liquidity and new opportunity in the
New rules under Title VII of the Dodd-Frank act have increased
the regulatory burdens on swaps, leading some in the market to
re-examine how the instrument is used.
The new regulations increased clearing times and
margin requirements for standardised swaps. While, futures are
already regulated by the Commodity Futures Trading Commission
(CFTC) and have both shorter clearing times and lower
The increased burden that...