We won’t copy UST clearing mandate wholesale in UK – BoE
Senior official also promises that any minimum repo haircuts will be calculated at portfolio level
There will be no attempt to translate the US clearing mandate for government bonds into UK markets indiscriminately, according to a senior Bank of England official. Pelagia Neocleous, a senior manager for financial stability strategy and risk at the BoE, also sought to reassure market participants about the regulator’s approach to minimum haircuts for bilateral bond repo trades.
“Participants have raised concerns about any ‘one-size-fits-all’ type of measure – that would mean, for example, a
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