The latest revisions to the European Market Infrastructure Regulation (known as EMIR 3) brought about numerous changes affecting cleared markets, with potential impacts both within and outside the EU.
Among these is the introduction of the controversial new "active account" requirement. This will require certain EU counterparties to hold at least one active account at an EU central counterparty (CCP) and clear a representative number of trades through that account. This is intended to incentivize the development of clearing in the EU and reduce exposures to and usage by EU entities of non-EU CCPs.
Following its consultation, the European Securities and Markets Authority (ESMA) published its final draft regulatory technical standards (RTS), which set out the details of the active account requirements (the Active Account RTS). This provides greater certainty for those counterparties and CCPs.
EMIR 3 entered into force on December 24, 2024, except for the amendments to the calculation of the clearing thresholds for financial counterparties (FCs) and non-financial counterparties (NFCs). The requirement to have an active account applied from June 25 2025. However, the final draft of the Active Account RTS still has to be approved by the European Commission. Until the Active Account RTS enter into force, in-scope entities should discuss compliance with their national competent authority (NCA).
In this note, we delve into the mechanics, obligations, and strategic implications of the active account requirement. We unpack what it means for EU market participants and how it will reshape the landscape of derivatives clearing across the European Union.
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