Swaps End-User Update – 18 Feb 2014

What End-Users Need to Know About EMIR – Risk Mitigation Techniques

Swaps end-users that trade derivatives with counterparties that are established in the European Union (EU) (or that have affiliates established in the EU that trade derivatives) should be aware that they may be subject to the European Market Infrastructure Regulation (EMIR). Similar to Dodd-Frank (DF) in the U.S., EMIR imposes reporting, clearing and risk mitigation obligations on end-users of derivatives; however, an end-user's EMIR obligations may be different from and potentially more burdensome than its DF obligations. McGuireWoods LLP is providing a series of updates for swaps end-users regarding their potential obligations under EMIR. This update describes risk mitigation techniques applicable to end-users under EMIR.