Foreign exchange
SGAM AI launches leveraged reverse ETF in Italy
Société Générale Asset Management Alternative Investments (SGAM AI) has released an exchange-traded fund (ETF) with up to 200% leveraged, reverse exposure to the Dow Jones Euro Stoxx 50 index, enhanced by a monetary return. The SGAM ETF XBear Dow Jones…
The fight is on for LCH
US clearing giant, The Depository Trust & Clearing Corporation (DTCC), insisted on Tuesday that a merger with London-based clearing house LCH.Clearnet would be completed by the end of March, despite a possible rival bid.
Clearing CDS for lift-off
A new single-name North American credit default swap (CDS) contract, due to be launched next month, is expected to bring greater standardisation to the market and pave the way for central clearing.
SEC incompetence and secrecy over Madoff enrages Congress
The fraud examiner who spent eight years warning about Bernard Madoff's alleged Ponzi scheme has blamed institutional incompetence within the Securities and Exchange Commission (SEC).
European CDS regulation 'inevitable' - EC official
The European Commission (EC) is moving ahead with plans to enforce central clearing of credit default swaps (CDSs), despite a plea by the International Swaps and Derivatives Association (Isda) to resume dialogue on the issue.
ECX to launch spot contracts in March
The European Climate Exchange (ECX) and ICE Futures Europe will launch daily futures contracts for EUA and CER emissions credits "sometime in March", according to ECX CEO Patrick Birley.
The fight is on for LCH
US clearing giant The Depository Trust & Clearing Corporation (DTCC) has insisted that a merger with London-based clearing house LCH.Clearnet would be completed by the end of March, despite a possible rival bid.
Federal Reserve extends liquidity programmes
The Federal Reserve has extended the deadline for its existing liquidity programmes by six months, to October 30, in a sign of continuing strain on financial markets.
Primus takes hit in Q4
Primus Guaranty, the Bermuda-based parent company of the first standalone credit derivatives product company, saw a net loss of $918.5 million in the fourth quarter of 2008. This result compares with a net loss of $403.9 million in the corresponding…
Increase in institutional users of US-listed ETFs amid market turmoil
In the first nine months of 2008, 2,457 institutional investors across the world used one or more exchange-traded funds (ETFs) listed in the US, according to Barclays Global Investors' ETF Landscape Review. The US, UK, Canada, Spain and Switzerland have…
Deutsche presents Ucits III 130/30 fund
Deutsche Bank has launched the DB Platinum IV Croci Global 130/30 fund, a Ucits III compliant fund which is designed to provide exposure to long and short equity positions on stocks from Europe, Japan and the US. The bank has raised €90 million in assets…
Auction sets settlement values for LyondellBasell companies
An auction run by data vendor Markit and broker Creditex determined final settlement values for credit derivatives trades referencing three US-based subsidiaries of Netherlands-based chemical company LyondellBasell, today.
Barclays launches volatility ETNS after 2008 spikes
Barclays has launched two new volatility-linked exchange-traded notes (ETNs). The notes will track two indexes from the S&P 500 Vix Futures indexes series, which was launched a week ago and aims to replicate a long position in publicly traded Vix futures…
Settlement settled?
The collapse of Lehman Brothers and other banks last year proved that settlement risk in the forex market has been greatly reduced. But while forex operational risk managers may be giving themselves a pat on the back, there are warnings that settlement…
Unblocking the euro pipeline
Last month brought a huge EUR48.4 billion of new corporate bonds, more than half the total amount of supply one investment bank predicted for the whole year in the euro market. Matthew Attwood looks at the drivers of the trend, and finds that in one…
A capital offence
In believing that healthy capital reserves would enable banks to weather the credit crisis, lawmakers and banking chiefs neglected one important fact, says Suresh Sankaran of Fiserv IPS-Sendero: that robust capital adequacy ratios do very little to keep…
Deals of the Month: GDF Suez
The primary markets have been buzzing since the start of the year. We profile GDF Suez's mammoth EUR4.25bn deal, the $1.5bn five-year from Staples, and Toyota's Swiss franc issue
Government guarantee schemes force covered bond market to retrench
Covered bonds, both public and private, still have a place in portfolios despite competition from the recent phenomenon of government-guaranteed bank debt
Legal Spotlight
The ECB has set minimum standards that ABS must meet if issuers are to use the securities as repo-eligible funding. Angus Duncan assesses the impact of these new rules on existing ABS
Credit ratings newcomer hires ex-S&P president
Credit rating agency Rapid Ratings adds Kathleen Corbet to its board in a push to increase awareness of its rating system which measures financial health rather than creditworthiness