Głowacki Law Firm

Clearing threshold calculation under EMIR - ESMA explains what conglomerates are made of
Friday, 23 May 2014 13:21


It needs to be recalled that positions taken by third-country non-financial entities in the same group as the non-financial counterparty, which would be non-financial counterparties if they were in the EU, count for the calculation of the EMIR clearing threshold.


Global conglomerates, EU-based subsidiaries thereof are relatively small, may be particularly affected.


ESMA in its EMIR Q&As update of 21 May 2014 (ESMA/2014/550) has underlined in this context that the group to which the non-financial counterparty belongs, includes subsidiaries, sisters and parent companies of the non-financial counterparty wherever the ultimate parent company is established. 


This clarification is rather obvious, however, its regulatory origin and rank removes any remaining ambiguities.


See more on the clearing threshold calculation under EMIR...





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