Structured products
US banks require $74.6 billion in additional capital, stress tests reveal
Ten US banks collectively require an additional $74.6 billion in additional capital to insulate against possible losses over the next two years, the results of US government stress tests show.
US Wrap: ABN cuts in to reverse convertible space
ABN Amro has joined the latest bout of reverse convertible issuance kicked off by Barclays earlier this week. The Dutch bank has launched five notes, one of which is a three-month product linked to the stock of Intuitive Surgical that offers a 23%…
Early day motion urges investigation into structured products
An early day motion has been tabled in the UK Parliament calling for an investigation by the Financial Services Authority (FSA) on behalf of investors who lost money after buying structured products backed by Lehman Brothers.
Central banks continue to expand support in face of deflation threat
The Bank of England and the European Central Bank both announced expansions to their monetary stimulus programmes today, warning that low inflation or deflation remained a threat.
SEC roundtable: circuit breakers most favoured short-selling rule
Participants favoured circuit breakers, which halt trading in volatile markets, over other proposed short-selling restrictions discussed at the US Securities and Exchange Commission's (SEC) roundtable on May 5.
Barclays Wealth offers US exposure to Super Tracker investors
Barclays Wealth has launched the latest version of its FTSE tracker product, which features an S&P 500 option that gives investors accelerated participation in the US index. In a market usually limited to UK equity, investors will now be able to opt for…
US Wrap: Issuers hit the accelerator
The US structured products market saw a bumper day of issuance yesterday, including five accelerated growth products from JP Morgan and 10 reverse convertibles from Barclays Bank. In total, 22 products were launched by six providers in one of the year's…
CDS: Spreads narrow for every issuer
Credit default swap 5-year mid-levels for structured products issuers (Wednesday May 6)
First insider-trading case for CDS market
On May 5, the US Securities and Exchange Commission (SEC) filed the first civil action for insider trading involving credit default swaps (CDS).
Bair: US should pull back from Basel II
The US should back away from the "highly problematic" Basel II framework and instead turn its attention to fine-tuning the current Basel I Accord, Federal Deposit Insurance Corporation (FDIC) chairman Sheila Bair said yesterday.
La Meer launches integrated operational risk software for hedge funds
Daily news headlines
CDS: Europe narrows while US banks widen marginally
Credit default swap 5-year mid-levels for structured products issuers (Tuesday May 5)
Grail swoops into US ETF market with actively-managed ETF
Grail Advisers has listed its first exchange-traded fund (ETF) on the Arca platform of the New York Stock Exchange (NYSE). The Grail American Beacon Large Cap Value ETF is an actively-managed fund which uses multi-managers to achieve its return, like a…
SP Magazine Survey: UK IFAs want structured products
The first Structured Products survey of the UK's independent financial adviser (IFA) market has thrown up startlingly positive results which endorse the view that investors are becoming tired of the minimal income on offer from other investment tools.
Iosco blames crisis on rush for yield
Poor incentives, inadequate oversight and a drive for high yield were behind the crisis in the credit market, and securitisation in particular, according to a paper issued today by the International Organisation of Securities Commissions.
Credit derivatives market will follow equity's lead, strategist says
After the collapse of securitised products over the past two years, the credit derivatives market is likely to become more similar to the equity derivatives market, according to Sivan Mahadevan, global head of equity and credit derivatives strategy at…
Biofuels get boost from clean energy revolution
The US Government has announced plans designed to boost the use of advanced biofuels through research, investment and the national Renewable Fuel Standard (RFS).
Editor's letter
Editorial
US Wrap: Electric exposures liven up week
Exposure broadened in the US market yesterday as providers launched notes offering exposure to Brazilian equity, international shares and General Electric stock among other underlyings, putting S&P 500 linked products in the minority.
Barclays launches fixed-rate bond
Barclays Capital has launched a new fixed-rate bond which pays a 4% annualised coupon on a yearly basis to investors. The bond has a five-year life, and investors can opt to receive 22% at maturity instead of the 4% yearly income.