Fragmenting clearing across multiple central counterparties (CCPs) is costly because global dealers cannot net positions across CCPs. They have to collateralize both the short position in one CCP and an offsetting long position in another CCP. This observation coupled with a structural net order...

Fragmenting clearing across multiple central counterparties (CCPs) is costly. This is because dealers providing liquidity globally, cannot net trades cleared in different CCPs and this increases their collateral costs. These costs are then passed on to their clients through price distortions...

Fragmenting clearing across multiple central counterparties (CCPs) is costly because globaldealers cannot net positions across CCPs. They have to collateralize both the short positionin one CCP and an offsetting long position in another CCP. This observation coupled with astructural net order...