News
Rating agency concerned by self-referenced credit derivatives
Fitch Ratings said it expects to make “appropriate adjustments to liquidity and capital measures” for any company that purchases a self-referenced credit derivative.
JP Morgan Chase set to increase lead as largest US derivatives bank
JP Morgan Chase, the bank with the largest exposure to derivatives in the US, is set to increase its lead with the takeover of Bank One. The derivatives exposure of the combined banks will approach $35.5 trillion, nearly 54% of the combined value of the…
EU Commission considers changes to op risk framework
The EU Commission is considering modest changes to the operational risk framework of its proposed capital adequacy directive (CAD), in response to comments received to its most recent draft, according to a source within the organisation.
BITS publishes new guidelines for Financial Services Aggregation
BITS, a Washington, DC-based non-profit consortium of 100 of the largest financial institutions in the US, has published new voluntary guidelines for financial services aggregation that promote sound, private and secure services.
NAB credit rating unaffected by FX options losses, says S&P
The credit rating of National Australia Bank is unaffected following the disclosure of unauthorised foreign exchange transactions, rating agency Standard & Poor’s (S&P) said today. The losses, expected to result in pre-tax forex option losses of A$180…
CME gets go-ahead to offer Globex trading in Australia
Australian market participants can now access the Chicago Mercantile Exchange and its products, after the Australian government gave a licence to the CME’s electronic trading platform, Globex.
Euronext.Liffe appoints non-executive director
Euronext.Liffe, the derivatives arm of Amsterdam-based pan-European exchange Euronext, has appointed Catherine Meyer to its board as a non-executive director.
NAB to lose up to A$180 million on unauthorised FX options trades
National Australia Bank (NAB) is set to lose up to A$180 million ($140 million) from unauthorised foreign exchange option trades, despite efforts to improve its operational risk management in the past couple of years.
Four more join iBoxx as CDS index market-makers in the US
Four more banks have become credit default swaps market-makers on iBoxx CDX, a tradable index of credit default swaps on 125 investment-grade US companies. This brings the total number of licensed market-makers to 15.
CME buys Liquidity Direct
The Chicago Mercantile Exchange (CME) has acquired Chicago-based Liquidity Direct Technology, a private company that owns a patent-pending system for trading complex options.
Basel II just the beginning for operational risk monitoring in banks, says Fitch
Compliance with Basel II is only the first step in the management of operational risk in financial institutions, according to Fitch Ratings, an international rating agency.
IIF makes further demands of Basel Committee
The Institute of International Finance (IIF), a Washington, DC-based trade association of more than 350 banks, has sent a letter to the Basel Committee on Banking Supervision asking for further concessions in the final Basel II document.
Mark-it set to offer new services as seven banks buy equity stakes
UK credit data provider Mark-it Partners plans to offer a convertible bond pricing service by the end of March, to complement its credit default swap, cash bond and syndicated loan pricing services. The move comes as seven of the company’s main backers…
Refco enters South Korea
US futures broker Refco has bought Korean futures broker HanMag Futures. It said it will retain all the South Korean firms's existing staff and plans to expand further during 2004.
Telekurs Financial triples VDF delivery
Swiss market data vendor Telekurs Financial has begun distributing its valor data feed (VDF) three times each day to ensure that the three main global timezones each have access to the most up-to-date data.
S&P 500 pension plan funding to cost $57 billion over next two years
The cost of funding defined-benefit – company sponsored – pension plans at the top 500 listed companies in the United States will hit $24 billion this year and $33 billion in 2005, according to research by Credit Suisse First Boston (CSFB).
SG appoints head of debt finance for the Americas
SG corporate and investment banking, a division of French bank Société Générale, has promoted Paolo Taddonio to the head of debt finance for the Americas.
Banks expenditure on Basel II compliance to hit $2 billion by 2005, says Datamonitor
Datamonitor, a London-based international business information company, estimates that European banks will spend up to $2 billion as they struggle to address onerous Basel II requirements.
SuperDerivatives sees more growth from buy-side sector
SuperDerivatives has sold its currency options pricing system to Coca-Cola Amatil (CCA), an Australian soft-drinks company with operations in six countries in the Asia-Pacific region.
DTCC set to launch automated payment reconciliation service
The Depository Trust and Clearing Corporation (DTCC) will this month introduce an automated payment reconciliation service. The move is one of a number of initiatives the US company has planned for the coming months aimed at reducing risk and improving…
State Street’s Snyder named head of forex trade body
Mark Snyder, US bank State Street’s global head of currency and money market sales and trading, has been appointed chairman of the Foreign Exchange Committee, a trade body.
SunGard buys WhiteLight Basel II system
SunGard Trading and Risk Systems, a division of US software company SunGard, has bought California-based WhiteLight's system for Basel II compliance from SymphonyRPM. It will rebrand the product the SunGard Basel II Capital Manager.
WestLB goes live with SunGard's Credient
German bank WestLB has gone live with Credient, SunGard Trading & Risk Systems' credit risk software package.
UBS takes 20% of active third-party CLS business with Saxo deal
UBS believes it has gained a 20% share of the third-party business conducted via the continuous-linked settlement (CLS) system. UBS said Denmark's Saxo Bank went live on the service today.