Credit markets
JP Morgan CDS exposure could top $10 trillion
JP Morgan’s proposed acquisition of Bear Stearns could push the bank’s already formidable footprint in the credit default swaps (CDS) market through the $10 trillion notional barrier, raising questions over the prudence of such large concentrations…
Driven to distraction
Asset-backed securities
CDPCs under pressure
CDPCS
Nightmare on North St
Amid countless other subprime-related lawsuits, a showdown is currently taking place between HSH Nordbank and UBS over a stricken collateralised debt obligation, named North Street. The case raises questions about practices employed at banks and across…
Still in credit
Creditex's co-founder and chief executive, Sunil Hirani, talks to Alexander Campbell
UBS to write down $5.9bn auction rate securities book
UBS plans to mark down more than 85% of its auction rate securities (ARS) paper, as the paralysis of the market continues into a third month.
Monolines - the nuclear option
XL Capital Assurance and Financial Guaranty Insurance Company (FGIC) face legal action by three banks after cancelling insurance contracts they had written on asset-backed securities transactions.
Credit Suisse sacks traders involved in mispricing
Credit Suisse has sacked or suspended the traders behind the mispricing that cost it a $2.65 billion writedown last month.
Kirnon: Agencies and banks can do more for transparency
Both rating agencies and banks can do more to meet investor demand for greater transparency in the structured credit market, said Noel Kirnon, New York-based head of global structured finance at Moody’s Investors Service.
Bank writedowns - is the worst over?
The credit crisis that has roiled the financial markets has wiped out massive amounts of value from banks' balance sheets, resulting in crippling losses for some banks. Most recently, HSBC announced a 79% rise in loan impairment charges and credit risk…
Margin calls bring mortgage funds to their knees
Funds that invest in asset-backed securities (ABSs) are struggling to cope with hikes in margin calls from investors – and some are even collapsing.
Standard swap-deliverable CCDS expected soon
A working group of about 10 major dealers and brokers could be just two months away from producing a standard contract for swap-deliverable contingent credit default swaps (CCDSs), predicted a person close to the group.
New LevX series to debut
Markit has announced the launch of the Markit iTraxx LevX Series 2 leveraged loan index for European loans.
International regulators release risk management report
Daily news headlines
Banks relied too much on ratings, supervisors say
Regulators from France, Germany, Switzerland, the UK and the US say banks that suffered serious losses during the credit crisis often did so because of avoidable failures in risk monitoring and management.