Infrastructure
Q&A: EC official "optimistic" on central clearing deadline
Mario Nava, head of the financial markets infrastructure unit at the European Commission in Brussels, updates Risk on progress towards central clearing of credit default swaps (CDSs) and the move towards a central trade repository for over-the-counter…
Stress-test success masks bigger problem with banks
The US government's bank stress tests appear to have been successful in stabilising financial markets, but some market observers believe they are obscuring broader systemic problems and could hamper efforts to deal with toxic assets.
OTC trade repository plan faces hurdles
Financial authorities in the US and Europe have advocated the introduction of a central trade repository to gather data on the over-the-counter (OTC) derivatives market, but there is concern that multiple repositories could do more harm than good.
BIS shows first OTC derivatives market decline
The total outstanding notional of over-the-counter (OTC) derivatives contracts fell 13.4% to $592 trillion at the end of December 2008, from $683.7 trillion at the end of June 2008, according to statistics released by the Bank for International…
The ups and downs of the Japanese yen
Asia Risk FX Review & Outlook 2009 - Sponsored statement
Forex freefall
Asia Risk FX Review & Outlook 2009 - Funding
After the dust settles
Asia Risk FX Review & Outlook 2009 - Settlement risk
Hoax hedges
Asia Risk FX Review & Outlook 2009 - Corporates
Fit for forex
Asia Risk FX Review & Outlook 2009 - Trading systems
Blossoming interest
Asia Risk FX Review & Outlook 2009 - Cover story
Skandia prepares income generator based on dividends
Skandia will launch tomorrow the Skandia Enhanced Dividend Seeker, a new protected product which delivers an annual income that depends on the dividend payments of the FTSE100 companies, rather than their share price valuations.
Regulators and exchanges prepare for boom in carbon trading
As the Obama administration moves closer to introducing a cap-and-trade system for controlling greenhouse gases, US regulators and other players are preparing for steep growth in the emissions market.
Geithner calls for law change to force OTC derivatives clearing
The US Treasury called upon Congress yesterday to amend the Commodities Exchange Act (CEA) to compel the "clearing of all standardised over-the-counter derivatives through regulated central counterparties".
Ambac makes $1.539bn derivatives gain
Ambac reported a massive $1.539 billion mark-to-market gain on credit default swaps (CDSs) in the first quarter – an upswing largely due to its own deteriorating financial condition.
Platts price assessment proposals face scrutiny
Questions have been raised in the energy trading sector about Platts' decision to align its US fixed price and differential crude oil and products assessments at 3.15pm eastern time (ET).
US banks require $74.6 billion in additional capital, stress tests reveal
Ten US banks collectively require an additional $74.6 billion in additional capital to insulate against possible losses over the next two years, the results of US government stress tests show.
Bair: US should pull back from Basel II
The US should back away from the "highly problematic" Basel II framework and instead turn its attention to fine-tuning the current Basel I Accord, Federal Deposit Insurance Corporation (FDIC) chairman Sheila Bair said yesterday.
Australia's carbon scheme delayed to 2011
The Australian government has delayed the start of its Carbon Pollution Reduction Scheme (CPRS) to July 2011 and announced a more ambitious emissions reduction target for 2020.
Valuation & transparency
Corporate statement
In the clear
The trend away from uncleared over-the-counter trading to cleared OTC trading has prompted exchanges to list a greater range of OTC cleared products. But to what extent can the OTC markets ever become completely cleared? Katie Holliday investigates
Simple structures
An increase in risk premiums on sovereign debt is giving banks a headache in pricing certain credit-related structured products. Investor appetite for such deals is in evidence, but mainly for simple, unleveraged products. Sophia Morrell reports
Column: Charles Cronin
Flawed models, conflicts of interest, ineffectual leadership: the rating agencies have emerged from the financial crisis with little credit, and reform may strip them further of their influence
Inflated expectations
It may seem counterintuitive, given these deflationary times, but inflation-linked fixed income strategies are proving a hit with investors as fiscal stimulus raises the threat that inflation will take over in the medium term. William Rhode reports
Financial pricing for the 21st century
Putting a price on assets for which no active market exists is a process mired in complexity and no little controversy. But the pricing models of yesteryear are simply not up to the job. David Patrikarakos looks at the new generation of valuation models…