Public quantitative disclosure standards for central counterparties - consultative report

October 2013

The then Committee on Payment and Settlement Systems (CPSS) and the International Organization of Securities Commissions (IOSCO) have published for public comment a consultative document on the Public quantitative disclosure standards for central counterparties.

In order that the risks related to the use of central counterparties (CCPs) can be properly understood, CCPs need to make relevant information publicly available, as stated in the CPSS-IOSCO Principles for financial market infrastructures, published in April 2012.

To provide guidance on what should be disclosed by a CCP and other financial market infrastructures, CPSS and IOSCO published a Disclosure framework in December 2012, primarily covering qualitative data that need relatively infrequent updating (for example, when there is a change to a CCP's risk management framework). To complement that disclosure framework, the document now being published sets out guidance on the quantitative data that a CCP should disclose more frequently.

Taken together with the Disclosure framework, the proposed disclosures in this consultative document are intended to support the objectives of enabling stakeholders, including authorities, participants (direct, indirect and prospective) and the public, to: compare CCP risk controls, including financial condition and financial resources to withstand potential losses; have a clear, accurate and full understanding of the risks associated with a CCP; understand and assess a CCP's systemic importance and its impact on systemic risk; and understand and assess the risks of participating in CCPs (directly, and, to the extent relevant, indirectly).

Published with the document is a cover note that lists issues on which the committees sought comments during the public consultation period, which ended on 13 December 2013.