Foreign exchange
Regulatory fines moved into legal risk definition
According to a source close to the Basel Committee on Banking Supervision, the concept of legal risk will be explicitly broadened in the final version of the Basel II document, due out at the end of June – to include fines, penalties and punitive damages…
European Securitisation Forum proposes amendments to Italian law
Trade body the European Securitisation Forum (ESF) has called for a review of Italian securitisation laws to enhance growth and competitiveness.
Merrill Lynch tipped to bid for EKT
Rumours are circulating that Merrill Lynch may snap up Entergy-Koch Trading (EKT) following last week’s news that New Orleans-based Entergy Corporation and Wichita’s Koch Industries are considering selling their Houston-based energy trading business.
Europe unprepared for emissions trading
The European Emissions Trading Scheme (ETS) will not begin on time, and will fail to deliver the promised results, according to a survey by Ernst & Young.
MEPs critical of the EU CAD return to parliament
In the face of one of the most difficult election environments for European parliamentary elections, two MEPs will be returning who have historically led the anti-Basel movements in that legislative body.
Senator releases Enron evidence
US Senator Maria Cantwell (Democrat, Washington) and Washington State’s Snohomish County Public Utility District (PUD) yesterday released financial documents and audiotapes that allegedly show how Enron illegally obtained at least $1.1 billion in profits…
Snow hails CME's China deal
The Chicago Mercantile Exchange (CME) has forged a ground- breaking deal with a central bank-sponsored foreign exchange trading platform in China, in a move hailed by US government officials as a crucial step towards renminbi flexibility, reports…
Central banks seek more data on credit derivatives
The Bank for International Settlements (BIS) is going to ask dealers in the credit derivatives market to supply more information about their business, including information on who they are dealing with.
Credit derivatives processing is now faster, says Isda
Financial institutions significantly improved their credit derivatives processing in 2003, according to the International Swaps and Derivatives Association's (Isda's) '2004 Operations Benchmarking Survey'.
Danish state-owned energy company signs up to Allegro
The Danish State-owned energy company, Dansk Olie og Naturgas (Dong), has signed up to use Allegro Development’s trading and risk management software for its natural gas operations.
Fitch finds CDS participants should act before times of stress
Credit default swaps (CDS), although an efficient risk management tool, should not be used solely in reaction to times of greatest stress when many corporates are illiquid, said a Fitch Ratings special report, Liquidity in the credit default swap market:…
Covering all the bases
Natural Gas
CFTC director resigns
Michael Gorham has resigned from his post at the US Commodity Futures Trading Commission (CFTC), effective June 30. Gorham was recruited by CFTC chairman James Newsome to become the first director of the Commission's Division of Market Oversight (DMO) in…
Banks making big op risk advances, says Fitch
More than 70% of the world's major banks will have developed tools for monitoring operational risk indicators and will be using risk and control self assessments by 2007, according to rating agency Fitch.
US puts trust in Canadian finance
Canadian income trusts have been trading at all-time highs. Now that the Canadiangovernment is allowing bigger players onto the market, interest from US energyfirms in such vehicles is growing. By Catherine Lacoursiere
Ken Gustafson
Natural Gas
The fuel of the future?
Natural Gas
CCRO and S&P form liquidity working group
The US Committee of Chief Risk Officers (CCRO) has established a working group along with rating agency Standard & Poor’s (S&P) to define the most effective metrics integral to assessing the liquidity demands of energy supply and wholesale marketing…
Amerada Hess forms LNG division
US energy company Amerada Hess has formed a joint venture with an affiliate of New York-based Poten & Partners, to be known as Hess LNG. The joint venture will be based at Amerada's New York headquarters and will pursue investments in liquefied natural…
Nymex president to quit
Bo Collins, president of The New York Mercantile Exchange (Nymex), will leave the exchange at the end of this month. Nymex said the decision not to renew his contract was by made by "mutual agreement."
Baltic Exchange forms asset derivatives advisory group
The London-based Baltic Exchange has formed an independent advisory group to enhance the emerging market for ship vessel asset derivatives. The group consists of key users, derivative brokers and physical panellists and will act as an information…
Sempra secures credit facility; raises earnings guidance
San Diego-based Sempra Energy is in the process of securing a two-year line of credit with "major financial institutions" that will provide as much as $1 billion. The line of credit, which will be secured by certain trading company assets, will be used…
ABN Amro expands financial markets advisory business to Asia
ABN Amro has expanded its financial markets advisory department to Asia, with the appointment of a new Hong Kong-based team to provide advisory services on debt funding, risk management and ratings advisory to corporates and financial institutions around…
Algorithmics to add administration capabilities to credit risk tool
Toronto-based Algorithmics has created a new credit administration system, aimed at streamlining management of all operational aspects of the process, including credit approval collateralisation.