4.6.1 Collateral reuse
Q79. Do you have any comments on the scope of the non-cash collateral reuse measure, and are there practical obstacles to the reporting? In the case of margin lending, do you agree with the exclusion of securities that cannot be transferred to the prime broker’s account due to rehypothecation limits agreed contractually?
512. ESMA stated that the counterparties should use the FSB formula to provide an estimate of the amount of collateral they are re-using, based on the share of collateral they have
513. Secondly, ESMA stated that the collateral securities posted or received from other transactions (such as collateral for margining purposes in derivatives transactions) are out of scope. The components of the reuse formula should not be reported in the formula. Reporting entities should only provide the estimated reuse at ISIN level.
514. Furthermore, it was mentioned that pledged initial margins that are isolated and immobilized, and therefore not eligible for r
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