Structured products
Hedge fund backed by Lehman launched today
Edgeworth Capital, a London-based hedge fund backed by investment bank Lehman Brothers, was launched today. The firm's first two funds, a global fund following a macro strategy and a pan-European long/short equity fund, will be launched in September.
JP Morgan Chase and Deutsche join Currenex as member banks
JP Morgan Chase and Deutsche Bank have joined Currenex, the electronic foreign exchange trading portal. Currenex said the additions will enhance liquidity on the FX trading platform, and the news follows from the collapse of rival Atriax earlier this…
SGAM to hedge Santander’s Supersatisfaction II
SG Asset Management (SGAM) has won a contract to hedge an expected €1 billion of equity-linked deposits issued by Spanish bank Santander Central Hispano (SCH).
Credit Markets Update: telecom spreads rally in strong US equity market
This week telecoms continued their rally on the back of a strong US equity market, with spreads tightening by up to 10 basis points. But telecom equipment makers were punished by weak results from Nokia, and saw credit default swaps widen.
Rates Markets Update: Swaps ride out terrorist scare
Interest rate swap spreads continued in a narrow range this week, despite a slight widening caused by the fear that the crash of a small plane into a Milan office building on Thursday was the work of terrorists. Initial fears led to 10-year US dollar…
Isda AGM: Sweden could pull back from swaps market
More bank credit rating downgrades could prompt Sweden’s Debt Office to pull out of the swaps market. That was the warning delivered today to the International Swaps and Derivatives Association meeting by Erik Thedéen, head of the debt management…
Isda AGM: No room for doom and gloom
At the International Swaps and Derivatives Association's AGM today, outgoing Deutsche Bank chairman Rolf Breuer predicted more strong growth for the derivatives industry, despite problems faced by other financial markets.
Credit Markets Update: Spreads narrow as outlook turns positive
US Federal Reserve Chairman Alan Greenspan’s testimony before Congress today indicated that the Fed does not plan to raise interest rates any time soon and this, along with signs that the US economy is strengthening, caused spreads in the credit…
Isda AGM: New Isda board members unveiled
Henning Bruttel, head of foreign exchange and local markets at Dresdner Kleinwort Wasserstein in Frankfurt, was made the new vice-chairman of the International Swaps and Derivatives Association today. He replaces Thomas Montag, managing director of…
Structured products
Despite hedge funds promising absolute returns, plenty of buyers want guarantees on top
An independent voice
John Butcher talks to Narayan Naik about the Centre for Research and Education's new two-day course which aims to lift the lid on the workings of hedge funds
Yankee doodle
Jeff Benjamin discovers how a hedge fund boutique in Massachusetts is looking beyond simple outperformance towards a more targeted approach to business
Bucking the downturn
The Decillion Convertible Arbitrage Fund has risen 16% in the past eight months despite concerns about volatility and credit in the market
Managing the future
Market volatility adds to the woes of global macro and managed futures
Deutsche launches credit index fund
Deutsche Bank launched the Xavex Dynamic Bond Portfolio Fund today. The new credit fund is index-based and indirectly uses the German bank’s over-the-counter (OTC) trading desk for hedging.
Merrill makes more key FX hires
Merrill Lynch has made another number of key hires to its FX team following the appointment of Michael deSa as global head of FX late last year. The US investment bank has lured Adam Kreysar, the highly rated global head of FX options at UBS, as its new…
Chaos reigns at new hedge fund
London-based hedge fund manager HED Capital Management is set to launch a new $200 million fund, dubbed the Beaufort Chaos Fund, by June. HED claims its chaos theory-based strategy obviates the need for derivatives.
Credit Markets Update: Merrill spreads hit as disclosure fears grow
The cost of five-year protection on Merrill Lynch's senior debt rose a sharp 16 basis points today, due to ongoing investigations into conflicts of interest between its equity research and corporate finance divisions.
Rates Markets Update: US swaps widen on Middle East fears
The US interest rate swaps market broke a trend this week as spreads slowly widened after several weeks of consistent narrowing. Five-year dollar swap spreads widened by 5 basis points to 62bp over Treasuries in the same maturity, while 10-year spreads…
Default levels worst on record, says S&P
The first quarter of 2002 was the worst ever recorded for corporate defaults, said rating agency Standard & Poor’s (S&P).
Credit Markets Update: HVB spreads up on Kirch and other concerns
Subordinate protection costs on Munich-based HypoVereinsbank (HVB) surged 12 basis points briefly today, as it became the latest financial institution dragged into Kirch Media's bankruptcy. Within 30 minutes of trading, senior protection on HVB traded at…
Electronic platforms short circuit
E-trading