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BoE Urges Clearers To Monitor Risk
Clearinghouses should do more efforts to monitor risks, said the Bank of England’s deputy governor Paul Tucker.
Clearinghouses should do more efforts to monitor risks, said the Bank of England’s (BoE) deputy governor Paul Tucker, Reuters reports. Clearers should become market watchdogs and be able to organize themselves as risk managers and monitor their members and the business they clear, he added.
Clearing houses, such as the IntercontinentalExchange and Eurex have gained attention since the financial crisis as regulators believe they are a core tool for reducing risks and improving transparency in markets. After the 2011 reorganization of U.K. financial supervision, the BoE will become the regulator for clearers.
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