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🔗 Back to Summary. 🇫🇷 French Version: 2017R0589_FR.26. Back to Summary of LVL1. Open the PDF. Direct link to EUR-LEX.
Article 25 – Due diligence assessments of prospective clearing clients ⬅️ | ➡️ Article 27 – Disclosure of information about the services provided
Références LVL1 <=> LVL2
Level 1 reference(s): 2014L0065_EN.17 > 6
Article 26 - Position limits
1.
A clearing firm shall set out and communicate to its clearing clients appropriate trading and position limits to mitigate and manage its own counterparty, liquidity, operational and other risks.
2.
A clearing firm shall monitor its clearing clients’ positions against the limits referred to in paragraph 1 as close to real-time as possible and have appropriate pre-trade and post-trade procedures for managing the risk of breaches of the position limits, by way of appropriate margining practice and other appropriate means.
3.
A clearing firm shall document in writing the procedures referred to in paragraph 2 and record whether the clearing clients comply with those procedures.