My interest in this research topic was inspired by the apparently global consensus on the mandate for central clearing … in the credit default swaps market. At the first glance, the central clearing mechanism with its central counterparties … participants. Therefore, it is highly questionable whether central clearing can ultimately maintain and protect the market …

Default auctions at central counterparties (or 'CCPs') are critically important to financial stability. However, due to … their unique features and challenges, standard auction theory results do not immediately apply. This paper presents a model … for CCP default auctions that incorporates the CCP's non-standard objective of maximizing success above a threshold rather …

Default auctions at central counterparties (or ‘CCPs’) are critically important to financial stability. However, due to … their unique features and challenges, standard auction theory results do not immediately apply. This paper presents a model … for CCP default auctions that incorporates the CCP’s non-standard objective of maximizing success above a threshold rather …