News
UK insurers ‘in limbo’ as HMRC reviews tax break for perpetual debt
Consultation undermines level playing field between banks and insurers on capital issuance
Leverage ratio changes threaten European clearing model, industry warns
Proposed revisions appear to catch back-to-back trades that are used to get exposure into European CCPs
Newedge research shows CTA capacity concerns overblown
Research from Newedge suggests growth in assets will have muted impact on CTA performance
Mixed picture emerges on hedge fund fee structures
Hedge fund management fees on average are rising while incentive fees fall. However, FoHF performance fees are rising as management fees drop, according to a fee structure study by eVestment
EM currency turmoil reflected in hedge fund performance and flows
Institutional investors may start pulling back from emerging market-focused hedge funds as performance figures in July show a mixed story for the sector as a whole. Flows have slowed significantly
US insurers overhaul lapse risk assumptions
Switch to predictive models to provide better understanding of risk
Bail-in tool required to resolve systemic insurers, says Bank of England
UK supervisor needs extended powers to fulfil FSB attributes for resolution of systemic institutions
CCP regulation needs to be regional, not national: SGX
SGX head of clearing risk urges greater cooperation among region's regulators
Nasdaq failure underlines worries over infrastructure resilience
The loss of service at one of the biggest US exchanges emphasises the risk of a failure at key service providers
SG launches UK Four series as survey shows investors expect 7% from FTSE 100
Investors believe 7% is a reasonable return for investing in FTSE 100 but many think it is unrealistic, says survey, prompting Société Générale to launch the UK Four series that aims to exceed expectations with annual returns of up to 10%
Commodity hedgers alarmed by CFTC margin proposals
Margin rules proposed after the collapse of MF Global could dramatically raise the cost of hedging, complain market participants
CDS licence approvals too slow, Sefs claim
Sefs claim their applications for licences to offer single-name and index CDSs are moving at a glacial pace – echoing allegations made by the European Commission
Ada expands EM footprint with Behavior Capital merger
A pair of research-focused hedge fund managers are merging their operations to create a global emerging markets platform
Santander strategic review halts Cater Allen structured product issuance
Santander's UK private banking arm Cater Allen has ceased issuing structured products while a review takes place
WGMR exemption for FX swaps and forwards expected imminently
Final rules on margin requirements for non-centrally cleared derivatives are expected within weeks, including a long-awaited exemption for forex swaps and forwards
Cat bond ‘lite’ structures raise contamination risk and insolvency fears
Investors and lawyers voice concerns about using segregated accounts structure to issue streamlined cat bond instruments
Eurex preps launch of FX options and futures
German derivatives exchange will move into the forex market in October as it aims to compete for volume in listed futures and options
Bitcoin faces pressure over slow transactions
The New York Department of Financial Services has launched an investigation of digital currencies such as Bitcoin, on service-level and money-laundering concerns
DTCC announces executive management shake-up
The Depository Trust & Clearing Corporation has announced a shake-up of its executive management team
Single-name CDS clearing held up by fears over SEC regime
Temporary rules for portfolio margining by clients are set to expire in December. Hedge funds say they will stay on the sidelines until they know what happens next
Divergence fears over insurer resolution proposals
Scope of Financial Stability Board proposals to give supervisors extended powers ‘unclear’
Fed points the finger at weak stress testing by US banks
Major US banks are failing on key risk management tasks, regulator says
Insurers developing internal model risk calibrations for non-standard credit assets
Underlines growing strategic importance of infrastructure bonds and MBS, finds survey