Foreign exchange
Isda called on to improve OTC commodities market
Elaine Whiting, head of global over-the-counter commodities transaction documentation and management at Barclays Capital, yesterday called for assistance from financial institutions to create operations 'metrics' for OTC commodities markets.
Extensive revisions expected for EU CAD in July draft
Substantial changes in content will have occurred to the EU Capital Adequacy Directive (CAD) when the final EU Commission draft is published in July. And domestic European regulators are warning that further alterations will take place to the document…
Cutting capital
Across the banking spectrum, new technology is being used to help financial institutions reduce their capital requirements, writes Clive Davidson.
Natexis first CLS third-party bank in France
Natexis Banques Populaires has become the first continuous-linked settlement (CLS) third-party participant in France.
Governments face carbon allocation legal action
European governments face legal action from industry if they fail to provide carbon allocation plans by the end of the year, according to Peter Vis of the climate change unit of the European Commission.
HSBC names new London chief
HSBC will have a new head of European and Middle Eastern foreign exchange in London in early May, when Andrew Brown transfers from Hong Kong to take on the key role, reports RiskNews' sister publication, FX Week .
Forex profits soar as funds up risk
Citigroup and State Street both reported surges in first-quarter foreign exchange revenue last week on the back of increased activity from fund managers, senior officials told RiskNews’ sister publication, FX Week .
TCV market risk system upgrade prepares for credit risk and Basel II
Treasury Corporation of Victoria (TCV), the central financing authority of the State of Victoria in Australia, has implemented a system to improve its market risk management, which it plans to extend to cover credit risk and that should help it meet…
Regulators remain fuzzy on practicalities of AMA group allocation approach
Both US and UK regulators offered only clues about how the various controversies surrounding the group allocation issue would be resolved at OpRisk Europe and OpRisk USA, hosted by Incisive Media in March.
SIA proposes ways for mutual-fund fees disclosure
The Securities Industry Association has proposed a system of Web-based and toll-free telephone disclosure of brokerage firms' relationships with mutual-fund companies. SIA said this would provide investors with thorough, easy-to-understand disclosure of…
UK banks can save money by delaying Basel II implementation, says Cass research
Delaying compliance with the New Basel Accord would save UK banks substantial amounts of money, according to research by Cass Business School of London.
Regulators put credit risk transfer in the spotlight
Leading financial services regulators have placed the credit risk transfer market under scrutiny to establish if instruments such as credit derivatives and synthetic collateralised debt obligations (CDOs) pose a threat to financial stability.
Risk Into Value
Investment firms have plenty to consider in the race to achieve Basel II and operational risk mandates.
Gulf emerges between online and voice brokered forex trading, says Greenwich
A sharp divide exists between clients actively trading on electronic platforms and those that do not trade foreign exchange online, according to new research from US-based consultancy Greenwich Associates.
Former JP Morgan Chase fund trio make £55m
Three foreign exchange and fixed-income specialists who left JP Morgan Chase to set up a hedge fund have made profits of more than £55 million ($100 million) in their first year, according to RiskNews ' sister publication, FX Week .
Dollar distress
Scottish Power has announced a £400 million cash windfall through its currencyhedging programme. Others have not been so lucky – but everyone is nowwaking up to currency trading. By James Ockenden
The matrix
Abstract: Portfolio-wide risk management requires a model that accounts correctlyfor the volatility of, and the correlations between electricity forward products.In this paper Kjersti Aas and KjetilK°aresen discuss a joint model for electricityforward…
SIA calls for regulatory convergence between EU and US
The Securities Industry Association (SIA) has urged the Securities and Exchange Commission (SEC) and the Committee of European Securities Regulators (CESR) of the European Union (EU) to forge a framework to achieve regulatory convergence.
Integrate Basel II and Financial Reporting Standards, PwC urges banks
Financial firms should consider integrating compliance with Basel II and the International Financial Reporting Standards (IFRS) to avoid overspending on regulatory compliance, according to a report by PricewaterhouseCoopers (PwC).
Study reveals overspending on compliance
BearingPoint, a Virginia-based business-consulting firm, has released survey findings showing wasteful spending and duplication of efforts around risk management and financial transparency in leading financial institutions.
BNP Paribas Asset Management acquires fund of hedge funds business
BNP Paribas Asset Management is to acquire the Javelin fund of hedge funds business currently owned by ZCM Investor Capital, the US subsidiary of Swiss group Zurich Financial Services.
NPR on Basel II expected in late 2005, says OCC
The US regulatory agencies expect to release a notice of proposed rulemaking (NPR) on the new Basel Accord – Basel II – in late 2005 or at the beginning of 2006, according to John Hawke, US Comptroller of the Currency.
Using a square peg
Hedging load exposures is a complex issue, and plumping for hedging the expectedvolume is unlikely to be the best solution. Brett Humphreys and RahulGill showthat sometimes, the best hedge of a shaped position is an over-hedge
Icap will not pay Prebon’s £2m damage claim
Icap has no intention of recognising rival broker Prebon’s £2 million claim for damages after a dispute over the employment of three Icap coal brokers, according to its director of corporate affairs Mike Sheard.