The opacity of the derivatives market was at the center of the stage of the GFC and fueled the panic seen during the worse days of the crisis. The American International Group AIG problems revealed during the weekend of the Lehman default demonstrated that not enough information was available about the risk exposures of large financial institutions to the derivatives instruments and other asset classes and, for that reason, regulators were ready to make the necessary changes to improve transparency of key financial firms and restore confidence in the market. The inclusion of OTC derivatives Trade Repositories ( TR ) was one of the big changes.

By centralizing the collection, storage, and dissemination of data, a TR can enhance the transparency of transaction information to relevant authorities and the public and, most importantly, they can promote financial stability.

Chilean regulators and the local financial community already benefited from the information provided by the local TR, especially to manage financial stability. Now, Chilean regulators can do stress tests of derivatives positions at the industry level, size collateral calls (especially in non-central bank money) and analyze the impact of extreme market volatility on non-bank institutions. In other words, Chilean regulators now have enough information about the risk exposures of large financial institutions in Chile.