Some jurisdictions mandate the clearing of particular derivative products through a central clearing counterparty (CCP). To clear through a CCP, an entity must be a clearing member1. The types of products required to be cleared, and the surrounding legal framework, vary across jurisdictions.
The Committee concluded that the clearing member first applies the requirements for financial instruments.
The Committee concluded that the principles and requirements in IFRS Standards provide an adequate basis for a clearing member to account for centrally cleared client derivative contracts. Consequently, the Committee [decided] not to add this matter to its standard-setting agenda.
1 Clearing Members are sometimes referred to as Clearing Brokers.