FMLC has published a paper on uncertainty arising in the context of indirect clearing of exchange traded derivatives under the Markets in Financial Instruments Regulation (MiFIR). There was no RTS for indirect clearing arrangements when ESMA submitted final draft RTS under the revised Markets in Financial Instruments Directive (MiFID 2 and MiFIR). It was later confirmed that the draft MiFIR RTS will follow an ESMA consultation (see FReD 9 October). FMLC examines the clearing requirement and voices its concern that the requirement may conflict with existing insolvency laws in Member States, as well as any insolvency rules in third countries to which a direct client may be subject. FMLC seeks clarification as to how the proposal to grant prevalence to the eventual RTS will be carried out. (Source: FMLC Reports on Clearing Uncertainty in MiFIR)