Dodd-Frank rules take aim at brokers pushing rate swaps for bigger commissions
The US Financial Industry Regulatory Authority (Finra) has launched an investigation into financial institutions' underwriting derivatives contracts used by US municipals to finance debt at lower costs.
The municipal bond market in the US is still largely in a state of disarray, well over a year after the collapse of the auction rate securities (ARS) sector, though signs of recovery are visible in the fixed-rated debt market, congressmen have heard.
The Mayor of Birmingham, Alabama, has been charged with 101 counts including bribery, money laundering, mail and wire fraud pertaining to the award of lucrative bond transaction and swap agreement servicing contracts in exchange for financial kick-backs,...
Investors badly misjudged the risks posed by auction rate securities (ARS), and the willingness of dealers to keep supporting the market in the event of a liquidity drought, a new report has shown.