Traders close ranks against FVA critics

Traders v. theorists

fva-wrecking-ball

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. “We had basical

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: