Credit markets
New York governor announces CDS regulation
The governor of New York, David Paterson, has declared parts of the credit default swaps (CDS) market will be regulated from January 2009, in an attempt to clamp down on what he described as a major contributor to the emerging crisis on Wall Street.
CDS spreads continue to tighten
Credit default swap (CDS) spreads on financial institutions had tightened further by close of play on September 19, as market confidence continued to rise after large injections of cash from central banks
Lehman crisis hits Primus
Primus Guaranty, the Bermuda based parent company of the first standalone credit derivatives product company (CDPC), had its counterparty credit rating of BBB+ placed on rating watch negative by Standard and Poor's on September 17.
CDS spreads tighten after central bank efforts
Credit default swap (CDS) spreads on financial institutions tightened yesterday as market confidence improved following a range of measures from central banks.
HK SFC & MAS warn investors on Minibond redemption
The Hong Kong Securities and Futures Commission (SFC), in a statement issued at the end of Asian trading today, told investors owning Lehman Minibond paper that they could receive substantially less than their initial investment and that the separately…
CDS spreads continue to widen
Credit default swap (CDS) spreads on financial institutions have continued to widen, despite the bailout of US insurer American International Group (AIG) by the US Federal Reserve Board on Tuesday.
Interbank lending still under pressure
Interbank lending markets remained under stress today, despite large injections of liquidity by the world’s central banks.
Markit offer exposure to vintage mortgage-backed securities
Markit, the financial information services company, plans to launch an ABX.HE 05-2 index on October 2, 2008. The ABX.HE is a tradable synthetic index of U.S. sub-prime asset-backed securities.
Lehman Brothers bankruptcy to be largest in history
The liquidation of Lehman Brothers will be the largest bankruptcy in history, with the defunct investment bank holding consolidated assets of $639 billion and liabilities of $613 billion as of May 31, 2008, according to court documents.
AIG secures £20 billion bridge loan, but still downgraded
Struggling US insurance giant American International Group (AIG) was granted permission yesterday to access assets from its own subsidiaries, enabling it to raise around $20 billion in additional capital.
Bank CDS spreads widen dramatically following Lehman collapse
The cost of protection on credit default swaps (CDSs) referenced to the world’s largest financial institutions has skyrocketed as Lehman Brother’s bankruptcy has heightened counterparty credit risk concerns.
Bank of America buys Merrill Lynch for $50 billion
Bank of America announced today it will acquire Merrill Lynch in a $50 billion all-stock deal, rounding off an explosive weekend on Wall Street.
Bank of America buys Merrill Lynch for $50 billion
Bank of America announced today it will acquire Merrill Lynch in a $50 billion all-stock deal, rounding off an explosive weekend on Wall Street.
Bank of America buys Merrill Lynch for $50 billion
Bank of America announced today it will acquire Merrill Lynch in a $50 billion all-stock deal, rounding off an explosive weekend on Wall Street.
Fannie and Freddie CDS to settle at October auction
The auction process to settle credit default swap (CDS) contracts written against Freddie Mac and Fannie Mae will take place in the first week of October, Risk has learned, although losses on the agreements are likely to be minor for most counterparties.
Ratings down and defaults up at Moody's
New York-based ratings agency Moody’s Investors Service reports downgrades in derivatives outlooks and increases in defaults.
Calyon cuts back derivatives operations
Calyon will cut 500 jobs and pull out of the structured credit and derivatives markets as part of a plan to survive the market downturn.
Fitch nears end of global CDO review
Almost a year on from its global collateralised debt obligation (CDO) ratings embargo, Fitch Ratings is months away from determining the final status of ratings on hundreds of corporate CDOs.
Sterling Waterford launches Carbon Credit note in South Africa
Sterling Waterford Securities has listed its second Carbon Credit Note on the Johannesburg Stock Exchange. The note offers investors exposure to the price of Certified Emission Reductions which are part of the Kyoto Protocol Clean Development Mechanism.
Two Credit Suisse brokers charged with ARS fraud
The US Securities and Exchange Commission (SEC) has accused two Credit Suisse brokers of duping their customers into buying more than $1 billion of subprime-backed auction rate securities (ARS).
Cat bonds go against the grain of the credit crisis
Catastrophe bonds (cat bonds) have been one of the few asset classes to prove resilient to the capital markets' turbulence over the past year.
Powerful ambition
Backed by the financial might of Russia's Renova Group, Avelar Energy is investing in conventional and renewable energy assets across western Europe. Avelar's CEO, Igor Akhmerov, tells Roderick Bruce about his company's strategy
Power struggle
Forward liquidity has been lacking in the UK power market since 2002, and attempts to improve the situation have met with little success. Roderick Bruce considers what the future may hold for UK power trading
Profile: David Slade
The chairman of the Loan Market Association, also leveraged finance head at CSFB, talks to Matthew Attwood about the path to recovery for the beleaguered loan market