FSB: Updated regulatory framework for haircuts on OTC securities financing transactions

FSB: Updated regulatory framework for haircuts on OTC securities financing transactions

The Financial Stability Board has published updated regulatory framework for haircuts on certain non-centrally cleared securities financing transactions (SFTs). 

 

The framework aims to address financial stability risks associated with SFTs. 

 

The framework outlines numerical haircut floors applicable to non-bank-to-non-bank SFTs.

 

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