Blog

Various prominent members of the financial services industry have contacted the International Swaps and Derivatives Association in an effort to get this organization to change the "master agreement" for these risk management tools. A letter that was signed by officials including U.S. Federal Deposit Insurance Corporation Chairman Martin Gruenberg and Bank of England Governor Mark Carney implored

The amount of derivatives trading and clearing happening on the Singapore Exchange rose in October from the same month in 2012, the Asian bourse stated on Nov. 4. One item of news that was notable was that the open interest in these risk management tools was 62 percent higher at the end of October when compared to the same time last year. At the conclusion of the fall month, there were 3.7 million

The U.S. House of Representatives voted on Oct. 30 to repeal certain derivatives regulations that would require banks to set up separate businesses to handle their swaps transactions. These OTC derivatives trades would be pushed into separate entities not insured by the federal government as a result of a specific provision that was contained in the Dodd-Frank Act, according to The New York Times

The past several years CVA & related valuation adjustments have been an instrumental part of an ongoing and evolving global dialogue. Since the financial crisis put a spot light on the need for effective management of counterparty credit risk in OTC derivatives trading banks have attempted to calculate their Credit Value Adjustment charges under the Basel III regulatory framework and there have

One rule imposed by Dodd Frank that presents an opportunity for dealers is the “embargo” rule, otherwise known as the law requiring real-time public reporting of all swaps transactions and pricing data, which was created to provide better liquidity in the OTC market. This rule offers somewhat of an olive branch to dealers and major swap participants by allowing them to share raw transaction data