EMIR and Euro bond: Difference between pages

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European Market Infrastructure Regulation<ref>http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2012:201:0001:0059:EN:PDF</ref> (EMIR) came into force as binding law within the European Union on 16th August 2012, although certain of its requirements came into force after a period of delay.
A proposed new debt instrument for the euro area, also known as a Stability Bond.


The objective of EMIR is to reduce the risks posed to financial systems from the vast web of [[Over the counter]] (OTC) derivative transactions and the contingent large credit exposures that may arise as a consequence. The Regulation achieves this object by three significant requirements for:
The new instrument would be denominated in euro and issued <u>jointly</u> by a number of relevant countries, for example all of the euro area (informally Eurozone or [[Euro zone]]) countries.


• Central clearing and margining of standardised OTC derivatives (with certain exemptions for Non-Financial Counterparties)
This proposal is sometimes known as 'common issuance' (contrasted with separate sovereign issuance by each individual country as at present).


• Reporting of all derivative transactions to a trade repository
The spelling without the space has begun to dominate the literature even though that may cause confusion given the established meaning of [[Eurobond]], some authors seeking to use the term [[international bond]] for the latter.


• Risk mitigation measures for all non cleared derivatives including collateral exchange and  confirmation and reconciliation procedures


''Note''


== See also ==
Take care: a bond denominated in euros is a 'euro bond' in the same way that a bond denominated in dollars is a 'dollar bond'. A euro bond in that sense may be a [[domestic bond]], a Eurobond or [[international bond]], a [[foreign bond]] and even, if any are ever issued, a Euro bond as used in this entry.
* [[ESMA]]
* [[MiFID]]
* [[Trade repository]]
* [[Legal entity identifier]]
* [[AIFMD]]
* [[CCP]]
* [[CSD]]
* [[FC]]
* [[NFC]]
* [[RTS]]
* [[UTI]]


== Other links ==
[http://www.treasurers.org/otc ACT briefing note: European regulation of OTC derivatives: Implications for non-financial companies, April 2013 ]


[http://www.treasurers.org/node/9406 EMIR – frequently asked questions for non financial counterparties, ACT webinar September 2013]
== See also ==
 
* [[An introduction to debt securities]]
[http://www.treasurers.org/node/9344 EMIR edges near, The Treasurer, September 2013]
* [[Eurobond]]
 
 
==References==
<references />


[[Category:Capital_Markets_and_Funding]]
[[Category:Corporate_finance]]
[[Category:Managing_Risk]]
[[Category:Investment]]
[[Category:Financial_products_and_markets]]

Revision as of 20:15, 30 June 2022

A proposed new debt instrument for the euro area, also known as a Stability Bond.

The new instrument would be denominated in euro and issued jointly by a number of relevant countries, for example all of the euro area (informally Eurozone or Euro zone) countries.

This proposal is sometimes known as 'common issuance' (contrasted with separate sovereign issuance by each individual country as at present).

The spelling without the space has begun to dominate the literature even though that may cause confusion given the established meaning of Eurobond, some authors seeking to use the term international bond for the latter.


Note

Take care: a bond denominated in euros is a 'euro bond' in the same way that a bond denominated in dollars is a 'dollar bond'. A euro bond in that sense may be a domestic bond, a Eurobond or international bond, a foreign bond and even, if any are ever issued, a Euro bond as used in this entry.


See also

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