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ICMA European Repo and Collateral Council (ERCC)
Since the early 1990’s, ICMA has played a significant role in promoting the interests and activities of the international repo market, and of the product itself.

The ICMA European Repo Council (ERC) was established in December 1999, to represent the cross-border repo market in Europe. It has become the industry representative body that develops consensus solutions to issues arising in a rapidly evolving marketplace, consolidating and codifying best market practice. The Council’s on-going efforts to establish a robust infrastructure to underpin the European repo market include the development of the Global Master Repurchase Agreement (GMRA) and the publication of the ICMA ERC Guide to Best Practice in the European Repo Market – a document which is periodically amended as warranted by evolution in the agreed understanding of best practice. The Council also plays a significant role in nurturing the development of the repo market and supporting its wider use in Europe by providing educational courses and market information, such as the bi-annual survey of the European repo market which has become established over the past decade as the only authoritative indicator of market size and structure and the dominant trends.

On 4 December 2015, ICMA’s board decided to change the name of the European Repo Council (ERC) to the European Repo and Collateral Council (ERCC). This change was made in order to recognise the increasingly intimate relationship between repo and collateral and the substantial focus of the ERC on collateral. The repo market is the main means by which collateral is sourced, priced and circulated. Repo desks are increasingly regarded as collateral desks. Moreover, since the financial crisis of 2007, the importance of collateral has grown significantly and the ERC has increasingly focused its efforts on working with the authorities to create an efficient collateral market. While the name change is not expected to presage a dramatic shift in the nature or role of the ICMA ERCC, it will serve to sharpen the focus of the ICMA ERCC on collateral and will also help to ensure that there is recognition in the official sector, and amongst the public, of the ERCC’s mandate to work on collateral. The ERCC’s work will continue as today, but over time new groups of member representatives may be formed to more directly tackle applicable collateral topics and challenges.

Membership of the ERCC is open to ICMA members who transact repo business in Europe. For more information contact: ercc@icmagroup.org

See also:
Repo and collateral markets


Alexander Westphal
Director, Market Practice and Regulatory Policy, Secretary to the ICMA European Repo and Collateral Council (ERCC)
Direct line: +44 20 7213 0333