International panel studies show more than two-thirds of 46 systemic banking crises were preceded by house price boom-bust patterns, while 35 out of 51 house price-bust episodes were followed by a crisis.1 However, we have not had access to good property price indexes, based on sound economic foundations and comparable between countries and jurisdictions.
It is therefore important that central counterparties have appropriate risk management procedures in place;  •  links between central counterparties operating in different countries can foster financial integration across those countries, by allowing the participants to trade in a foreign market and clearing that trade through existing national arrangements.