Collateral
Industry responds to EC derivatives proposals
Three industry bodies have offered overall support for the European Commission's proposals for derivatives markets, but opposed measures they claim could be detrimental to over-the-counter trading.
New OTC markets regulation "could damage businesses"
Regulatory attempts to reduce systemic risk within the financial sector should not extend to non-financial sector companies, according to the London-based Association of Corporate Treasurers (ACT).
US and English courts on potential collision course over Lehman structures
Legal battles over a series of collapsed structured finance transactions in which a subsidiary of Lehman Brothers was the swap counterparty could produce divergent opinions from US and English courts, causing far-reaching consequences for trustees and…
Airlines use aircraft as alternative to cash in margin calls
Airlines with fleets of unencumbered aircraft are starting to use them instead of cash as collateral required for large margin calls in derivatives trades, such as fuel hedges.
Conflict's end
The second phase of the International Swaps and Derivatives Association's collateral dispute resolution protocol prescribes a market polling mechanism for settling disputes involving illiquid and complex transactions. How will the market poll work and…
Custody battle
Following the losses suffered in the wake of the collapse of Lehman Brothers last September, hedge funds are increasingly looking to place initial margin with bankruptcy-remote third-party custodians. But prime brokers are staunchly refusing to surrender…
Going electronic
Collateral management functions currently exchange margin call notices and confirmation of interest payment by email, but the need for automation is becoming more urgent. The industry is looking to define the sequence of messages that would need to be…
Collateral damage
Securities lending
The listing option
Following the banking crisis, the burden of counterparty risk has increased the need for transparency and liquidity in the structured products market. While a move to listing products and exchange-trading helps offer this, how does it affect counterparty…
Collateral management
Sponsored Statement
Dangers of disintermediation
Editor's letter
The domino effect
Corporates
Death by association
CFXOS
Margin of error
Prime Brokers
Power to the people
ABCP Conduits
Non-recourse redoubt
Non-recourse financing
FSA starts monitoring banks’ management of collateral
The Financial Services Authority (FSA) has started investigating how large investment banks manage their collateral, fearing they may not be ready for a sudden market downturn.