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Jan 31, 2019 · A QFC is considered to be an “in-scope QFC” and therefore subject to the QFC Stay Rules if it (1) contains an express restriction on the ability of a GSIB to transfer its rights under the QFC to another entity or (2) enables the counterparty to a “covered entity” to exercise rights against the covered entity in the event of the covered entity’s default under a QFC.
Yes. The US QFC Stay Rules require GSIBs to obtain resolution stay consents from counterparties (and conform all new QFCs to the same requirements) within a specified timeline. The first compliance deadline under the US QFC Stay Rules is January 1, 2019, for all in-scope QFCs between GSIB covered entities.
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Under the US QFC Stay Rules, a "Covered QFC" which must be made rule-compliant is defined very broadly to cover a wide variety of financial transactions including without limitation; which have restrictions on the transfer of credit support provided by an affiliate to an insolvent G-SIB. The effective date of these rules is January 1, 2019.
Dec 20, 2018 · These ICMA FAQs reflect questions on the QFC Stay Rules received by ICMA staff to date. They will be kept under review and updated as appropriate. The ICMA note and these FAQs focus on how to address the QFC Stay Rules’ requirements where a manager or dealer is a “Covered Entity”1. The considerations may be different in respect of any ...
• requires covered banks to ensure that a covered QFC • contains a contractual stay-and-transfer provision analogous to the statutory stay-and-transfer provision imposed under title II of the Dodd–Frank Act and in the Federal Deposit Insurance Act, and • limits the exercise of default rights based on the insolvency of an affiliate of the
Mar 8, 2019 · The Opt-In Requirement requires a covered QFC to explicitly provide both (a) that the transfer of the QFC (and any interest or obligation in or under it and any property securing it) from the covered entity to a transferee would be effective to the same extent as it would be under the U.S. special resolution regimes if the covered QFC were governed by U.S. law and (b) that default rights with ...
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What is a 'covered QFC' under the US QFC stay rules?
What is a covered QFC?
What are the QFC stay rules?
Which gsibs are subject to the QFC stay rules?
When are QFCs considered in-scope for the US QFC stay rules?
What is the difference between the ISDA us stay protocol and QFC?
Feb 28, 2019 · The Protocol was drafted based on the requirements under the QFC Stay Rules for a safe harbored “U.S. protocol,” and therefore any covered QFC that is amended by the Protocol is deemed to ...
