Supervisory stress testing can be a key building block of the macroprudential framework for CCPs if it accounts for the propagation of risk across CCPs as well as the spillover to, and spillback from, their clearing members.
The recent European Union-wide stress test led by the European Securities and Markets Authority (ESMA) is a promising first  4  See also Cœuré, B., interview with Risk Magazine, 19 May 2016. 5  See Financial Stability Board, “Strengthening Oversight and Regulation of Shadow Banking -Regulatory framework for haircuts on non-centrally cleared securities financing transactions”, 14 October 2014.