Cover story

HSBC

Precious Metals House of the Year

A growing gap

More and more dealers are entering the hedge fund derivatives market, and ever more complex structures are being launched. But while the fund-linked derivatives market has grown strongly, there is little consensus on the best way to manage the risks…

The missing link

With several countries now developing emissions trading schemes, UN-supervised project-based emissions credits could become the linking instrument that creates a global price signal for greenhouse gas abatement. But greater standardisation in the market…

Credit market ricochet

The run-up to the March roll of the iTraxx and Dow Jones CDX indexes saw an intense burst of trading activity as spreads widened sharply. Popular index trading strategies fell by the wayside, while new players such as CPDOs entered the market. How did…

Sizing up skew

Structured products providers' methods for hedging skew are fairly homogeneous. Some banks, however, are searching for ways to refine their approach to hedging by transforming skew risk into an investment palatable to sophisticated investors. By Rachel…

Credit market complacency

The structured credit market has come under the scrutiny of regulators fearful that a credit downturn will bring significant systemic risk to the global financial markets. Participants in the credit derivatives market are, for the most part, nonplussed…

Urge to merge

The landscape for US commodity exchanges is undergoing considerable change, with many heavyweight names announcing mergers or new co-operations. David Watkins looks at what this will mean for energy trading

Reconstructing loan management

European banks are taking advantage of the benign credit environment to overhaul the way they manage their loan portfolios. With credit spreads at record lows, banks are increasing their use of credit derivatives for hedging. By Rachel Wolcott