Commentaries: Art. 28a

To cover risk exposures, the operator shall only accept liquid collateral with low credit and market risks.
The operator shall value collateral prudently. It shall apply haircuts which are also appropriate under extreme but plausible market conditions and validate them regularly.
The operator shall avoid concentration risk in the collateral. In order to diversify the collateral, it shall define concentration limits and monitor compliance with these limits. The operator shall also ensure that no participants post collateral whose value will be substantially reduced in the event of their default.¹
The operator shall ensure that it can access the collateral in a timely manner. This applies, in particular, to collateral which is:
1. held in custody abroad;
2. issued by foreign issuers; or
3. denominated in foreign currency.

Amended by No I of the SNB O of 26 Nov. 2015, in force since 1 Jan. 2016 (AS 2015 5307). ↩

Art. 28a