Providing funds for derivatives desks was a backwater, pre-crisis. Treasurers were “the boring guys in grey suits no-one wanted to party with”, according to one. But firms could still get caught out if they neglected obligations to their treasury. One senior London-based trader at a US bank recalls being summoned, as a junior associate, to explain to the global head of rates trading why 20% of the annual profit of his multi-million-dollar book had been lost to a funding slippage.
The week in Risk.net, February 10-16 2017Receive this by email