European Market Infrastructure Regulation (EMIR)

A body of legislation adopted by the European Commission that aims to reduce systemic counterparty and operational risk while helping to prevent future collapse within the financial system.

Key Facts

EMIR requires market participants to: report all information of OTC derivatives to a trade repository; meet risk management standards for all bilateral OTC derivatives, any trades not cleared by a CCP; and clear all OTC derivatives which are subject to mandatory clearing obligation via a CCP.

Stage 1 implementation is required by September 1st, 2016 for the largest firms and by September 1st, 2020 for all other institutions.

Additional Information
EMIR FAQ

Who it affects
Entities who enter into any form of derivative contact in the 31 member states of the European Economic Area (the 28 Member States of the European Union plus Iceland, Norway and Liechtenstein).

Wikipedia Entry
https://en.wikipedia.org/wiki/European_Market_Infrastructure_Regulation

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