Infrastructure
Corporates burned
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An auspicious debut
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The blame game
Accounting
Ratings agencies must try harder, Sifma says
A report from the Securities Industry and Financial Markets Association (Sifma), a New York-based industry lobby group, has criticised efforts by the major credit rating agencies to reform themselves.
Fed’s OTC processing targets expanded to interest rates and commodities
For the first time, major traders of over-the-counter derivatives have pledged to improve operational efficiency for interest rates and commodity derivatives, as well as further improve processing speeds for credit and equity derivatives.
MSCI Barra produces global currency indexes
MSCI Barra has launched global currency indexes that can be licensed for portfolio management and benchmarking purposes, as well as to serve as the basis of structured products and other index-linked investment vehicles such as ETFs.
SEC extends short-selling ban as hunt for rumour mongers intensifies
The US Securities and Exchange Commission (SEC) has extended its order prohibiting short-selling activity for another two weeks, as the regulator narrows its investigation into the source of market-manipulating rumours.
Basel Committee releases incremental risk charge proposal
The Basel Committee on Banking Supervision today released revised proposals for the charging of capital for incremental risk in the trading book. The new rules, developed in conjunction with the International Organisation of Securities Commissions, are…
New GSE legislation to be approved by end of week
Sweeping new legislation empowering the US Treasury to provide Fannie Mae and Freddie Mac with virtual carte blanche to access to government lines of credit could be approved by Congress as soon as the end of this week, Treasury secretary Hank Paulson…
Bank of America digests writedowns to post $3.41bn profit
Bank of America (BofA) posted profits of $3.41 billion for the second quarter, despite recording combined writedowns of $4.84 billion in its credit book and elsewhere for the same period.
Markit and DTCC plan to merge OTC services
London-based data provider Markit and New York-based Depository Trust and Clearing Corporation (DTCC) have announced their intention to form a new company to serve the over-the-counter derivatives markets.
Merrill Lynch startles market with end-of-day news on losses
Merrill Lynch waited until trading had closed in New York yesterday to announce quarterly losses of $4.7 billion, including $9.1 billion writedowns on its structured product, monoline and mortgage exposures.
ICE cool about further regulation
ICE Futures chairman Bob Reid said today he was “relaxed” about the CFTC regulation of ICE Futures Europe.
US moves to protect Fannie and Freddie
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Doubt over opportunities for new monolines
With financial guarantors hit by a raft of downgrades in recent months as a result of exposures to subprime mortgage-linked securities – restricting their ability to generate new business - several new players are waiting in the wings to fill the void…
Joint Associations Committee releases principles for retail structured products distribution
The five trade associations which have formed the Joint Associations Committee (Jac) published the final version of Distributor-Investor non-binding principles on July 9, following the completion of a consultation on a draft released in the middle of May…
Uncharted territory
As crude oil prices soar, the coming hurricane season looks set to add yet more complexity to US airlines’ dynamic hedging programmes. Catherine Lacoursière reports
Quant Congress: Bear Stearns breached structured credit limits, says former CRO
Defunct securities dealer Bear Stearns persistently breached its own internal limits governing how much structured credit paper the firm could hold on balance sheet in the months leading up to its collapse, the firm’s former head of risk management for…
Financial turmoil reports issued by the CGFS
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ABS new issuance increases 158%
Asset-backed securities (ABS) issuance for the second quarter has increased 158% compared with the first quarter, according to London-based data provider Xtrakter.
Basel committee outlines reforms for rating agencies
The Committee on the Global Financial System (CGFS) – a group affiliated with the Bank for International Settlements that monitors developments in financial markets for the G10 countries – released on July 4 its findings on failures in structured finance…
TriOptima prepares to face Isda-backed rival
The new credit derivatives tear-up service announced by Isda yesterday will use a more flexible method of simplifying credit portfolios - but established provider TriOptima in Stockholm disputes it will be any better than its own service.
Markit and Creditex launch op risk CDS platform
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