NEW YORK, March 23 The Depository Trust &
Clearing Corp said on Tuesday that it plans to give regulators
direct access to credit default swap information held in its
warehouse, including data specific to a trade counterparty's
Legislators internationally are working on rules to
regulate the $450 trillion privately traded derivatives markets
and want regulators to have access to trade information in the
markets, including positions held by large counterparties.
The move comes after insurer American International Group
(AIG.N) needed a government bailout from selling billions of
dollars of protection on risky assets using CDSs, and didn't
have adequate capital to back the exposures.
The DTCC holds data on around 2.3 million credit default
swap contracts from trade counterparties located in 52
countries, it said in a release on Tuesday.
The company said it is developing protocols to give
regulators direct access to this data.
"It is a bedrock principle of the Warehouse that all
interested regulators should have unfettered access to
Warehouse information necessary in furtherance of their
respective regulatory missions," the DTCC said.
The DTCC said it has provided data to regulators when
requested; however, in some cases it has refrained from
providing specific counterparty information without the consent
of the counterparty in order to protect proprietary
"In light of recent developments, we believe that
responding to these requests while continuing to observe the
practice of not providing counterparty names absent consent may
no longer be appropriate," the DTCC said.
Going forward, detail on a counterparty's aggregate
exposure and trade-level information will be provided to
regulators that have a material interest in that information,
the DTCC said.
(Reporting by Karen Brettell; Editing by Kenneth Barry)