The spike in settlement fails during this period could further encourage the industry to increase calls for regulators to reconsider a delay to the CSDR buy-in regime
Research from ICMA found that while demand for repo increased significantly dealers’ capacity to intermediate was constrained and limited access to many firms that needed it.
The group of 20 industry bodies have said the outbreak has resulted in a significant delay for both custodians and buy-side firms in carrying out heavy onboarding tasks
ISLA and ICMA write to regulators appealing for delay due to Coronavirus pandemic.
Asset managers and pension funds have expressed concerns the CSDR mandatory buy-in regime will impact liquidity and increase costs.