Articles by Duncan Wood
Contagion fears drive volatility
The takeover of a Spanish savings bank last month and rumours of funding difficulties at the country's financial institutions spook investors
Risk roulette on eurozone scenarios
The European Union and International Monetary Fund agreed a €750 billion emergency loan package in early May, aimed at averting a sovereign default and wider crisis across the eurozone. Nonetheless, banks have been preparing for the worst, stress testing…
Mortgage lenders fret over FASB hedging proposals
Popular risk mitigation strategies could be sunk by new rules on the designation of hedges
Risk Europe: Don't be blindsided by politicians, risk managers warned
Sovereign interventions are sacrificing market efficiency in order to deliver price stability, according to the former US Treasury attaché to the European Union
Riksbank's Persson: don't shoot CDS "messenger"
The Swedish central bank uses CDS spreads as an indicator of financial stability
Naked shorts to be allowed ahead of bund auctions
Dealers reassured that Bafin short selling ban will not prevent pre-hedging of debt purchases
Dividend rout blamed on hedge fund short positions
Some bankers say hedge funds are behind the dramatic fall in dividends on May 7
Bankers question Wellink’s claim on Basel III economic impact
Bankers question how the committee chairman can accurately estimate the impact of Basel reforms.
Confusion over CVA
Dealers are becoming more disciplined in pricing credit – a lesson learned the hard way after the collapse of Lehman Brothers. However, banks are taking a variety of approaches, and some participants believe certain firms are habitually underpricing…
Banks run eurozone crisis scenarios as Greece founders
With markets anticipating a Greek debt restructuring, bank traders and risk managers are preparing for a wider crisis that could drag in northern European countries, tip the euro into a tailspin or even threaten the eurozone’s integrity.
Goldman charged over CDO role
The US Securities and Exchange Commission filed a lawsuit against Goldman Sachs in April, alleging the firm misled clients. Some observers suggest the action may not be successful, but criticise Goldman’s behaviour. By Mark Pengelly and Duncan Wood
Goldman criticised over CDO after SEC lawsuit
Goldman Sachs has been sharply criticised for arranging a synthetic collateralised debt obligation (CDO) at the centre of a lawsuit filed by the US Securities and Exchange Commission (SEC) last week.
LCH.Clearnet CEO calls rival 'reckless' as Fannie, Freddie clearing battle heats up
Politicians love the idea of central clearing, but with competition for this new business increasing, so are concerns some venues might not be robust enough.
Deutsche financing scheme for Riga left Latvia with $1 billion debt and reporting headache
A financing transaction arranged for Riga by Deutsche Bank shows how local authorities can lay their hands on spending money without reporting it as debt.
Binge then bust
Politicians have recently expressed alarm at a cross-currency swap conducted between Greece and Goldman Sachs in 2001, which allowed the sovereign to reduce the debt it reported in its public accounts. But other examples now coming to light show the…
'Litmus test' case as banks charged with fraud over Milan restructuring
Four banks to stand trial over Milan restructuring trade
Out of their hands
Some regulators have suggested profits based on uncertain valuations of complex products should not be allowed to flow into earnings and be distributed in the form of dividends and bonuses – a move that potentially has massive implications for the…
Future options
Tomorrow’s derivatives market looks likely to shift away from exotic products to focus more heavily on centrally cleared vanilla trades. Dealers hope to see a big jump in volumes, which will offset a smaller decline in margins. They also have an eye on…
