Search: Close-out netting
RBA Glossary definition for Close-out netting
Close-out netting – An arrangement to settle all contracted but not yet due liabilities to, and claims on, an institution by a single payment, immediately upon the occurrence of one of a list of defined events such as the appointment of a liquidator to that institution.
Search Results
OTC Derivatives Reform: Netting and Networks | Conference – 2013
19 Aug 2013
Conferences
values or at values reflecting any loss to the surviving party from replacing the trades (so-called close-out netting). ... Such losses arise when the market price of the contract moves adversely between the default event and the surviving counterparty's
https://www.rba.gov.au/publications/confs/2013/heath-kelly-manning.html
The Foreign Exchange Market and Central Counterparties
10 Mar 2010
Bulletin
– March 2010
parameters for the management of this replacement-cost risk through bilateral (close-out) netting and margin requirements. ... Bilateral payment and close-out netting under ISDA Master Agreements is common market practice in the foreign exchange market
https://www.rba.gov.au/publications/bulletin/2010/mar/8.html
The Foreign Exchange Market and Central Counterparties
10 Mar 2010
Bulletin
PDF
153KB
Reserve Bank of Australia Bulletin March 2010
https://www.rba.gov.au/publications/bulletin/2010/mar/pdf/bu-0310-8.pdf
OTC Derivatives Reform: Netting and Networks
19 Dec 2013
Conferences
PDF
488KB
RBA Conference Volume 2013
https://www.rba.gov.au/publications/confs/2013/pdf/heath-kelly-manning.pdf
Box B: Central Clearing of Over-the-counter Credit Derivatives
10 Mar 2009
FSR
– March 2009
were owed upon close-out, and in co-ordinating the decentralised replacement of defaulted trades. ... Lehman's open positions were ascertained quickly and unwound with little uncertainty regarding counterparty risk or disruption to the broader market,
https://www.rba.gov.au/publications/fsr/2009/mar/box-b.html
Central Clearing of OTC Derivatives | Central Clearing of OTC Derivatives in Australia June 2011 | Consultations
7 Jun 2011
Consultations
In many jurisdictions, the legal robustness of these netting and close-out arrangements is underpinned by legislation. ... In Australia, the relevant legislation is the. Payments Systems and Netting Act 1998.
https://www.rba.gov.au/publications/consultations/201106-otc-derivatives/central-clearing-otc-derivatives.html
Box B: Central Clearing of Over-the-counter Credit Derivatives
25 Mar 2009
FSR
- March 2009
PDF
99KB
https://www.rba.gov.au/publications/fsr/2009/mar/pdf/box-b.pdf
Promoting Liquidity: Why and How? | Conference – 2008
14 Jul 2008
Conferences
Importantly, there can be close correlations between reductions in market liquidity and funding liquidity. ... Particularly for structured finance products, which can be designed to adhere to the rating agency's ratings criteria, the close relationship
https://www.rba.gov.au/publications/confs/2008/kearns-lowe.html
Key Features of Repo CCPs | Central Clearing of Repos in Australia: A Consultation Paper | Consultations
6 Mar 2015
Consultations
CCP could realistically close out or hedge its exposure to a defaulted participant. ... Since multilateral netting may have decreased the overall exposure to the defaulted participant, and the CCP can coordinate the close out of exposures to the
https://www.rba.gov.au/publications/consultations/201503-central-clearing-of-repos-in-australia/key-features-repo-ccp.html
Oversight of Clearing and Settlement Facilities
11 Sep 2008
PSB Annual Report
– 2008
The stress-test approach is designed to ensure that ACH has sufficient liquidity to assume a defaulter's cash equity settlement obligations and close out its outstanding derivatives positions. ... The Bank has, therefore, been in close dialogue with ASX
https://www.rba.gov.au/publications/annual-reports/psb/2008/oversight.html