Icma steps up opposition to FTT

Trade body argues that all movements of collateral, as well as repurchase agreements, should be exempted from the tax

The International Capital Markets Association has added to the growing body of industry-led research opposing the EU's financial transaction tax, with a new report warning of the levy's impact on collateral and the repo markets.

The Icma paper on the "systemic importance of collateral and the role of the repo market", published today, warned that the FTT undermines the G20 post-crisis reform agenda by making "collateral movements prohibitively expensive".

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