Risk magazine
Asian hedge fund business may halve
The hedge fund business in Asia is set to shrink by 33-50% in managed assets during the coming year, as fund managers face redemptions and struggle to put on successful trading strategies that do not require significant amounts of leverage.
CDS market mixed for eurozone and US financials
Credit default swaps (CDS) referencing UK and European financials faced varied market sentiment in early trading today.
Former UBS executives return bonuses
Senior employees who have left the troubled Swiss banking group UBS in the last year have waived or repaid SFr70 million ($58 million) in salaries and bonuses.
Munich Re creates CFO post in Asia
German reinsurer Munich Re has relocated Annett Rittershaus to Hong Kong to take up the newly-created post of regional chief financial officer (CFO) for greater China and southeast Asia.
Popular volatility indexes plunge
Record high levels of volatility in the equity market since September have caused huge losses on popular indexes that allowed investors to take short implied volatility positions.
QFII redemptions rise as crisis spreads
Concern over the health of financial markets has led to "a lot of redemptions" from qualified foreign institutional investor (QFII) bond funds, despite their strong performance versus other China-Hong Kong investment schemes, according to Andrew Fung,…
ECB no longer accepts syndicated loans as collateral
The European Central Bank (ECB) has removed syndicated loans governed by English law from its list of collateral eligible for its credit operations only four days after they were originally accepted.
Overnight euro Libor unaffected by news of €200 billion EU support
Overnight euro Libor remained unchanged from yesterday at 2.9%, despite the announcement a €200 billion stimulus package to shore up the struggling economies of European Union (EU) member states.
CDS market more liquid in times of stress - Fitch
The credit default swap (CDS) market becomes more liquid during periods of market stress, according to research conducted by Fitch Solutions, a valuation and product development division of Fitch Ratings.
CDS spreads down on European and US financials
UK and European banks saw improved market sentiment this morning, while the cost of credit protection on US financial institutions fell yesterday.
Treasury urged to sell £100 billion in RMBS guarantees
A senior advisor to the Chancellor has called for the UK Treasury to guarantee £100 billion in residential mortgage-backed securities (RMBS) over the next two years in order to revitalise the UK mortgage market.
Primus downgrade raises questions over CDPC model
Under threat of delisting from the New York Stock Exchange, Primus Financial Products, a leading credit derivatives product company (CDPC), has started buying back $25 million of its own stock.
US government still has room to manoeuvre, analysts say
The US government's move to rescue beleaguered banking giant Citigroup will not impair its ability to bail out other banks.
US sovereign CDSs rise as financials face mixed market
Credit default swap (CDS) spreads on eurozone and US financials experienced mixed market sentiment in early trading today and before market close yesterday, while CDSs referencing US sovereign debt rose by 5.5 basis points today.
Interbank markets stabilise despite 'unprecedented' volatility
Volatility in the US equity market is at near-record levels, but the interbank market remained stable today.
Iosco to tackle trading abuses
The International Organisation of Securities Commissions (Iosco) will crack down on "trading abuses", according to technical committee chairman Christopher Cox.
FDIC reports rise in problem banks
There are now 171 banks on the US Federal Deposit Insurance Corporation (FDIC)'s 'problem list', the largest number since 1995, the FDIC revealed yesterday.
China slashes interest rates
China has taken further action to stimulate its economy, with the central bank cutting its one-year lending rate by 108 basis points to 5.58% and the deposit rate by the same amount to 2.52%.
FASB to review SPV disclosure
On December 15, the Financial Accounting Standards Board (FASB) will issue amendments to FAS 140 and Fin 46, two accounting rules that deal with the disclosure of off-balance-sheet vehicles.
Sovereign CDSs up for UK and US
Credit default swap (CDS) spreads on UK and US sovereign debt hit record highs today, while CDSs on eurozone and US financials experienced mixed market sentiment.
Dollar borrowing costs up
Despite the announcement of the bailout of US bank Citigroup over the weekend, the interbank lending market is still seen as risky.
Obama officially names Geithner next US Treasury secretary
US President-elect Barack Obama has officially named Timothy Geithner, president of the Federal Reserve Bank of New York, as his appointee for US Treasury secretary.
Fed opens $800 billion war chest to aid securitisation recovery
The Federal Reserve Bank of New York has unveiled ambitious proposals to purchase up to $800 billion of agency mortgage-backed securities (MBS) and extend credit to holders of cash asset-backed securities (ABS) in an effort to prop up the securitisation…
WaMu names new president and CFO
Troubled US savings bank Washington Mutual has made two senior appointments amid restructurings at the firm.