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11 May 2025

PCS: ESRB reports on synthetic STS and concludes no systemic risk. A good result...as far as it goes.

The European Systemic Risk Board (ESRB) was tasked, following the crisis, with monitoring potential systemic risks in the financial markets. It was also specifically asked to report back on the systemic impact of extending the availability of STS status to synthetic transactions. It fulfilled that...

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