In particular, the paper articulates sound practices for resumption and recovery of critical clearing and settlement activities by core clearing and settlement organizations and financial institutions that play significant roles in critical markets by virtue of their market share (greater than five percent in one or more critical financial markets).
The sound practices include establishing geographically dispersed backup facilities for clearing and settlement so that these organizations can meet recovery objectives within the business day if a wide-scale disruption takes place. Using their respective supervisory and regulatory processes, the agencies are conducting focused, ongoing dialogues with the organizations that are subject to the sound practices paper.