FT.com / Comment / Editorial - Europe's sovereign credit default flop
plans to require derivatives to be traded on exchange and centrally cleared will in any case do a lot to make derivatives markets more transparent and efficient. These reforms must be seen through
As I said a while ago, contracts should certainly be registered, which opens up the way to both transparency and the 'netting' of obligations. But central counterparties are essentially single points of failure, and the clearing of OTC risk in this way is to be avoided, I think. "Any economic unit can emit money. The serious problem is to get it accepted" Hyman Minsky
