News
US Wrap: Single note offers exposure to international equity
Another single note was released into the US market yesterday, continuing the slow pace of issuance for the week. The product was issued by Bank of America and gives exposure to the MSCI Eafe Index, which tracks the performance of international equity.
Risk Derivatives Summit : balance sheet reform is essential
Runaway credit growth was at the root of the crisis, and regulatory reform must start by clamping down on it, John Greenwood, chief economist at Invesco in London, told the Risk Derivatives Summit audience yesterday.
Risk Derivatives Summit : Transparency not a cure-all
Moves to increase transparency and simplicity in the derivatives market might have some benefit, but are certainly not the single remedy needed after the financial crisis, according to panellists at the Risk Derivatives Summit in London yesterday.
Basel changes could "kill off correlation trading”
Proposed changes to the Basel II Accord’s trading book regime, due in early July, will make correlation trading uneconomical unless a compromise can be found, say dealers.
Revenues up in US E&P despite downturn
Exploration and production revenues of US oil & gas companies grew by 35% to $183.3 billion in 2008, according to a study by advisory firm Ernst and Young.
Fannie Mae chief executive appointed to US Treasury
Herbert Allison, who until recently was president and chief executive of Fannie Mae, has joined the US Treasury as assistant secretary for financial stability.
CDS spreads tighten on European and US banks
The cost of credit protection fell on European and US banks in European trading today.
RH Donnelley LCDSs settle in line with analyst expectations
An auction to cash-settle loan credit default swaps (LCDSs) referencing North Carolina-based commercial search firm RH Donnelley produced a recovery rate of 78.125%. Auctions to cash-settle LCDSs on two of the firm's subsidiaries, Dex Media East and Dex…
Iosco recommends compulsory registration of hedge funds
Hedge funds and fund managers should be subject to mandatory registration and an international system of oversight should be established for the hedge fund industry, the International Organisation of Securities Commissions' (Iosco) Technical Committee…
US Wrap: Bank of America follows RBC lead to Japan
Bank of America has launched an accelerated growth note linked to the Nikkei 225 index, following the issuance of a note 10 days ago by Royal Bank of Canada which tracked the Japanese equity benchmark as one of three indexes in a basket.
Risk Derivatives Summit : EC backs multiple CCPs
Multiple central counterparties for clearing derivatives trades might be less efficient, but stability concerns make a single counterparty too risky to allow, a European Commission (EC) specialist said today.
CROs respond to Swedish stress tests
Chief risk officers have given muted support to the recent stress-testing exercise by Swedish regulator Finansinspektionen to assess whether the country's largest banks have enough capital to survive future stresses.
CCFE to list steel scrap contracts
The Chicago Climate Futures Exchange (CCFE) and pricing information company World Steel Dynamics (WSD) have launched the World Steel Exchange (WSE), a new exchange platform listing index-based cash-settled futures contracts for steel scrap.
Dubai to price physical oil against DME Oman futures
Dubai Mercantile Exchange (DME) has confirmed that the Dubai Department of Petroleum Affairs (DPA) will set its official monthly selling price (OSP) for physical crude based on a differential to the settlement price of the DME's Oman Crude Oil Futures…
BlueNext launches OTC registration service for brokers
Environmental exchange BlueNext has launched a new registration service for brokers to help secure over-the-counter (OTC) EUA and CER spot transactions.
CDS spreads widen on Australian and Indian banks
The cost of credit protection rose on Australian and Indian banks in European trading today, while remaining steady on financials from the US and Europe.
Meteor launches Prima Growth Plan 16
Meteor, the UK distributor, has launched the sixteenth version of its Prima Growth Plan which has been issued by AAA-rated Rabobank. The kick-out style product has the potential to pay a 10% coupon after one year, paying the return on its first…
Price fluctuations biggest risk for power companies says Aon
Volatile commodity pricing is the biggest risk facing power companies in 2009 according to risk management firm Aon's Global Risk Management Survey.
CDS spreads widen on US and European banks
The cost of credit protection rose on US and European financials today.
Q&A: Osfi chief champions Canada's regulatory framework
Julie Dickson, superintendent at the Office of the Superintendent of Financial Institutions (Osfi) in Canada, talks exclusively to Risk about how Canada's regulatory framework has helped institutions weather the financial crisis, and shares her views on…
US regulatory reforms will target the big players
The Obama administration’s proposals on regulatory reform make it clear that, in future, size will matter to the regulation of US financial firms.
Glencore considers IPO
Swiss commodity trading giant Glencore is rumoured to be considering an initial public offering (IPO), according to the Financial Times.
CDS spreads tighten on US and European banks
The cost of credit protection fell on US and European financials today.
SNB considers restricting size of Credit Suisse and UBS
The Swiss National Bank (SNB) may impose size limits on Credit Suisse and UBS due to "unique" systemic risks in the Swiss financial system, it revealed on June 18.