How crisis-proof are financial market infrastructures?

The pandemic has caused unprecedented volatility in the financial markets. The corporate sector has been hit by supply disruptions and weak demand. Amid such turbulence, providers of infrastructure services for financial markets, such as exchanges, clearinghouses, trade depositories and custodians, financial data, and technology providers, are vital to providing robust and stable platforms and operations as well as timely information to allow for efficient transactions. Their operational resilience should enable them to go on contributing to well-functioning secondary markets and ensure the recapitalisation of primary markets.

Apostolos Thomadakis, Ph.D., is Researcher at ECMI and CEPS.