Clearing houses are experiencing record activity as banks and investors comply with new derivative rules and push

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Clearing houses are experiencing record activity as banks and investors comply with new derivative rules and push their over-the-counter fixed income and foreign exchange swaps towards centralized venues that bolster risk management for the industry. 

1. Why is there regulatory pressure for swap market trades to be centrally cleared? 

2. What are the advantages and disadvantages to counterparties if swap transactions are centrally cleared?

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