News
Prepare for further black swan events in FX, corporates told
Corporate treasurers should make sure their forex counterparties are properly prepared for the possibility of further black swan events in the foreign exchange markets, senior Lloyds banker tells ACT conference delegates in Manchester
Regulators seek to change operational risk methodology at October meeting
High-severity events such as the $2.3 billion rogue trading loss at UBS have highlighted the low levels of operational risk regulatory capital firms are holding
The Fed commitment letter process is alive and well, say Isda panellists
FSA's Bailey says the commitment letter process is better for firms than having the regulator "kicking over their books"
Chinese sovereign wealth funds should dump US stocks, report says
Chinese sovereign funds such as Safe Investment Company and CIC should consider dumping and even shorting US retail stocks during US economic downturns, if they want to adopt an integrated asset and liability management process when making investment…
New strategic ETNs seek to exploit volatility and mitigate risk
The latest exchange-traded notes from Barclays, Credit Suisse and RBS offer alternative strategies aimed at making the most of market volatility or hedging against tougher conditions
Video: What requirements will there be for ETF providers to segregate their processes, such as index creation and calculation, provision of the swap and market making?
"What requirements will there be for ETF providers to segregate their processes, such as index creation and calculation, provision of the swap and market making?", is the fourth question in a series of videos from Structured Products magazine that…
Speculation not a major cause of commodity market volatility: FOA
Futures and Options Association report refutes negative impact of speculators on commodities markets
FSA urged to take direct action against liquidity swap ‘malpractice’
The British Bankers' Association (BBA) has called on the FSA to pursue individual cases of liquidity swap ‘malpractice’, rather than imposing new industry-wide regulations on the transactions
Basel trading book review delayed
Fundamental review of Basel trading book rules may not begin in earnest until March 2012
CCP interoperability not achievable in near term, say clearers
CCP interoperability will not resolve fragmentation in the OTC markets, say panellists at Isda Europe conference in London
Korean central bank seeks external candidate to run reserves management
The Bank of Korea is seeking a new head of reserves management from outside of the central bank as part of an apparent attempt to bolster efficiency and foster better relations between the central bank and other market participants. This is the first…
ECB policy would shatter big CCPs, critics warn
Plans to have CCPs based in the jurisdiction of the currency they clear would pull apart multi-currency services, experts warn, after UK Treasury challenges ECB
Video: Will trade reporting requirements under Mifid II lead to the creation of an efficient trading market in Europe?
Will trade reporting requirements under Mifid II lead to the creation of an efficient trading market in Europe?
Complexity Basel 2.5's biggest problem, Risk.net poll finds
As banks prepare for year-end introduction of new trading book rules, poll respondents single out the framework's modular approach for criticism
Rule could make OTC-cleared energy contracts 'endangered species': O’Malia
CFTC commissioner renews support for over-the-counter energy clearing tool in the face of new Dodd-Frank rules that could affect operation
BIS calls for greater vigilance over sovereign risks
Bank for International Settlements Quarterly Review warns weaker global growth outlook risks fuelling sovereign debt crisis
AMA and loss data collection on the rise at US banks
More US banks expected to employ AMA, while new stress-testing proposals increase interest in operational risk quantification among smaller banks
Video: What is the future for ETFs that provide exposure to hidden assets
What is the future for ETFs that provide exposure to hidden assets such as hedge funds, private equity and volatility?
UBS fraud: rogue trader followed in Kerviel's footsteps
Fraud went on for three years before detection, according to charges. UBS statement reveals similar pattern to SG rogue trader Jérôme Kerviel
Greece tranche decision delayed until October: Juncker
Eurogroup chairman Jean-Claude Juncker says decision to release sixth bailout tranche to Greece will be delayed until October; sovereign may default sooner than expected, says analyst
Central banks take aim at dollar-funding shortage
Co-ordinated action from five central banks eases the pressure on dollar funding for European banks, but euro/dollar cross-currency basis swap market remains under stress
ETF providers hit back at criticisms in wake of UBS losses
ETF providers have dismissed claims losses allegedly caused by an ETF trader demonstrate the instruments are risky
Video: Have ETFs developed beyond simple index trackers into complex products?
"Are ETFs complex financial instruments", is the first question in a series of videos from Structured Products magazine that address the world of exchange-traded funds. As regulators and observers try and come to grips with losses inflicted on UBS by an…
Brokers welcome Iosco commodity derivatives supervision principles
The recommendations of global regulators to harmonise commodity derivatives regulation have received praise from brokers for not trying to divide 'speculation' from 'hedging'