Capco: Optimizing Risk Allocation for CCPs under the European Market Infrastructure Regulation

Events such as the recent global financial crisis, the failure of Lehman Brothers, and the bailout of American International Group, have called increased attention to the opaque workings of the over-the-counter (OTC) derivatives
markets which have remained unregulated until now. Nevertheless, the 2009 commitments of the Group of 20 (G20) economies towards the standardization and central clearing of OTC derivatives, have led to new regulatory initiatives which have culminated in the recent

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