News
CME default fund contributions likely to rise following CFTC move
A change in CFTC rules could lead to clearing members having to increase default fund contributions at CME and other US CCPs
HMRC grappling with impact of UK bank levy on clearing
HM Revenue & Customs "does not wish to discourage" client clearing business, which is caught by UK balance sheet tax
Dual reporting requirements in Asia cause concern
While Singapore will mandate single-sided trade reporting, regulators in Australia and Hong Kong will follow the European Union’s requirement for dual reporting, leading to concerns among market participants
Lack of suitable hedging options leaves Asian rice exporters exposed
Liquidity and political risk considerations hinder Thai rice producers' attempts to hedge out looming downside risk
Easing of documentary requirements increases onshore renminbi hedging
Easing of documentary requirements increases onshore renminbi hedging
Nikkei falls fail to dent redemption-driven demand for Japan equity-linked notes
Japanese investors are buying equity-linked notes in record numbers, even as the Nikkei comes off its highs. Most of the demand is coming from investors who have had notes redeemed, say banks
"London Whale" will testify against colleagues
Criminal and civil charges against JP Morgan traders show Iksil will co-operate with prosecutors
NAIC calls for coordination of US and international systemic risk regimes
Financial Stability Board's G-Sii regime should be consistent with US Sifi rules, says NAIC chief
Energy traders lag on post-trade processing, survey finds
Baringa Partners survey suggests firms may struggle to cope with European financial regulation
Federal regulation may increase compliance burden, head of op risk warns
US insurers dealing with potentially heavier load from federal regulation and the Orsa
CCPs in Japan, Mexico, Singapore and US to jump through Esma hoops
Eleven CCPs say they will apply to Esma for approval – sparing European members a capital hit – but Canada's CDCC has no plans to go through the process
Campbell opens non-trend programs to investors
CTA Campbell & Company’s Prism portfolio of non-trend strategies has generated strong returns since it launched as a standalone investment in April
Swedish life insurers weigh occupational pensions spin-off ahead of Solvency II
Directive threatens to put hybrid pensions providers at a competitive disadvantage and force them to split-up businesses
Implementation of Basel III capital ratios on Korean banks to drive subordinate debt issuance
Basel III capital requirements in Korea expected to dampen down M&A and ramp up issuance of subordinated debt
Risk Australia: Clearing broker collateral replacement mechanisms could put asset managers in breach of client mandates
Third-party collateral requirements not acknowledged in current standard clearing broker contracts
Hedge funds’ registered AUM tops $4 trillion according to SEC data
The Securities and Exchange Commission has reported data collected under Dodd-Frank showing total regulatory AUM, which includes financial leverage, for hedge funds is over $4 trillion
Six Swiss Exchange readies launch of delayed OTC platform
The XBTR electronic trading platform is scheduled for launch on August 18 and aims to improve the buying, selling and settling of OTC trades in Switzerland
Credit Suisse poaches Munich Re CRO, and other recent job moves
Tobias Guldimann moves to newly-created risk position, and other Changing Hats stories from the last month
AIFMD confusion threatens banks issuing offshore SPV structured products
The Financial Conduct Authority has exempted structured products from the Alternative Investment Fund Managers Directive in the UK, but products issued by offshore special purpose vehicles could still be caught under the new rules
Energy end-users may miss Dodd-Frank reporting deadline
Energy derivatives end-users face uphill struggle to comply with reporting rules when no-action relief expires
Deutsche Bank loses €94 million on CVA mismatch
Hedges worked as capital mitigant, but generated an accounting loss, bank says
Insurers oppose Eiopa power grab
A new European supervisor would be ‘unpleasant’ for the insurance industry
Regulatory indecision holds up equity derivatives trades in China
Two different sets of master agreements cause stalemate between banks and securities firms
CPSS, Iosco and FSB publish reports on FMIs
CPSS and Iosco says member states are making ‘substantial progress’ towards establishing their principles for financial market infrastructures