Template:M comp disc EFET Allowance Annex 4.3: Difference between revisions
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Unclear how often this clause would be used in practice: while [[brokers]] and [[dealer|dealers]] in the carbon markets may well be long and short fungible Allowances at the same time as a result of their market-making business, [[end user]]s and other market participants are less likely to be, and we suspect the headache of working out exactly how long or short you are in which designated {{efetaprov|Holding Account}} to which counterparty is larger than the operational convenience of not having to deliver out lots of {{efetaprov|Allowances}}. This is just a guess, however. | [[Physical Settlement Netting - EFET Allowance Provision|Unclear]] how often this clause would be used in practice: while [[brokers]] and [[dealer|dealers]] in the carbon markets may well be long and short fungible Allowances at the same time as a result of their market-making business, [[end user]]s and other market participants are less likely to be, and we suspect the headache of working out exactly how long or short you are in which designated {{efetaprov|Holding Account}} to which counterparty is larger than the operational convenience of not having to deliver out lots of {{efetaprov|Allowances}}. This is just a guess, however. |
Latest revision as of 11:12, 14 September 2023
Unclear how often this clause would be used in practice: while brokers and dealers in the carbon markets may well be long and short fungible Allowances at the same time as a result of their market-making business, end users and other market participants are less likely to be, and we suspect the headache of working out exactly how long or short you are in which designated Holding Account to which counterparty is larger than the operational convenience of not having to deliver out lots of Allowances. This is just a guess, however.