The EACH General Assembly met on Friday 21st May for its Annual General Meeting and stressed the crucial role played by CCPs in providing a resilient environment for participants in capital markets to manage risks through robust risk management.
The past year included three important milestones for European CCPs:
- A robust response to the COVID-19 market stress, an unprecedented market environment with historical volatility and market moves, which demonstrated the importance of CCPs through a real-life test.
- A successful completion of the ESMA Stress Tests[1], which represented another milestone in the confirmation that European CCPs are resilient and well equipped to withstand extreme market developments.
- A positive result of Fire Drills in Business Continuity Planning (BCP) mode, highlighting the resilience of CCPs’ default management structure through a real case of BCP mode.
Looking ahead, the Members of the EACH General Assembly remain committed to providing robust and efficient risk management services to the markets.
The EACH Co-Chairs Julien Jardelot, Niels Brab and Tim Grange said: ‘During the exceptional environment of the past year, the European CCP industry has largely demonstrated the way it adds value to its users and to the broader economy. We remain committed to working with our fellow Members of EACH to advocate the role of CCPs as providers of safer and more efficient markets. We look forward to continuing engaging with clearing members, clients and public authorities in our constant endeavour to make the CCP industry progress even further’.
The EACH Secretary General Rafael Plata said: ‘The successful response of CCPs to last year’s market environment makes me even more proud of working in this industry. While learning from the robust responses of CCPs, it is also important to look at the challenges ahead, be it market, regulatory or environmental ones, to name but a few. The EACH community stands ready for this.’.
For more information, please find attached the press release or visit our website www.eachccp.eu
