But this argument overlooks the fact that both global standards and EU law require CCPs to establish comprehensive arrangements so that any losses related to the default of a clearing member are allocated to the surviving participants.
Moreover, even if we were to reach the final stage of resolution and temporary public funding was provided, this would be recouped from clearing participants in line with the CCP’s arrangements for allocating losses. The risks of EU CCPs therefore mainly affect clearing participants, which are generally located throughout the EU.