Hidden Complexities Cloud Landmark EU Derivatives Reform

May 04, 2017

European regulators aim to reform the bloc’s over-the-counter derivatives market, a move lawyers say promises, on the surface, to lessen burdens on smaller firms, corporates and pension funds, but could also lead to a market fragmentation. Assia Damianova discussed the issue with Law360.

Exerpts from "Hidden Complexities Cloud Landmark EU Derivatives Reform," Law360, May 4, 2017:

“Some of the announced changes are quite significant in that they will reduce the transaction and compliance costs of the relevant market participants,” said Assia Damianova, special counsel in the capital markets group at Cadwalader Wickersham & Taft LLP.

“EMIR [European Market Infrastructure Regulation] has led to such profound changes in the way derivatives are traded and has been so burdensome that market participants would be quite eager to find out to what extent their life will be made easier,” Damianova said.

“While the proposals do not change the fundamental logic of EMIR, they do reflect the commission’s view of how and to what extent the rules can be made simpler and more proportionate without compromising financial stability,” Damianova said.

CadwaladerNews

CadwaladerSpotlight

June 27: SFIG Legal Counsel Forum 2018

Partners Scott Cammarn and Neil Weidner will be speaking at this event in New York City.

Cadwalader's research and intelligence platform provides analysis on changes in U.S. financial regulation. Subscribers receive a daily newsletter interpreting new laws, rules and enforcement actions that impact financial institutions.