Mark-to-market valuation
Mark-to-market accounting 'a major cause' of the crisis
Corporate Governance
ABA calls for action on mark-to-market accounting
Daily news headlines
Time for a rethink
Foreign exchange
The blame game
Accounting
A rumble in Mumbai
India
Sovereign Risk Manager of the Year - Agence France Trésor
Risk Awards 2008
IAS39 amended to allow for macro hedging
Controversial International Accounting Standards Board (IASB) proposals for the marking-to-market of derivatives, known as IAS39, are to be amended to allow for 'macro hedging'.
Sponsor's article > Accounting for revenue uncertainty
The past 20 years have seen an increasing focus on mark-to-market accounting when determining corporate profits. This has been accompanied by a dramatic growth in contracts where multiple complex contingencies interact to affect valuation. David Rowe…
Operational risk versus credit risk: Similarities and differences
Many attempts have been made to adapt credit risk models to quantify operational risk. In this article, Gerrit Jan van den Brink of Dresdner Bank and KPMG's Thomas Kaiser compare op risk and specific credit risk models in terms of input data, methodology…
Treasurers 'extremely concerned' by IASB rules
The International Group of Treasury Associations (IGTA) says IAS 39 should not be adopted unless two changes related to currency and interest rate hedging are made to the International Accounting Standards Board’s (IASB) rule.
Sponsor's article > Reason for hope
One disappointing aspect of the Basel II deliberations has been the lack of any proposed change in the treatment of counterparty credit exposures. David Rowe argues that recent dialogue between the Basel Committee and industry representatives offers hope…
Risk USA 2003: Loan managers increasingly rely on credit derivatives, says CIBC's Bennett
Stephen Bennett, global head of portfolio management at Canadian Imperial Bank of Commerce (CIBC), believes credit derivatives are playing an increasingly important role in the loan market, both as hedging instruments and by helping facilitate mark-to…
Post-delivery problems
Credit Risk
Standing out from the crowd
Credit Risk
Derivatives disclosure calls mount
Warren Buffett's stinging critique of the derivatives business in March represents the latest call for more derivatives disclosure. But despite some notable moves in this direction, most financial institutions remain stubbornly opaque.
Trichet calls for more transparency, especially for credit derivatives
Jean-Claude Trichet, governor of the Bank of France, said transparency is essential to prevent a "herd mentality" in the financial market that can create artificial swings in market prices.
Project risk: improving Monte Carlo value-at-risk
Cashflows from projects and other structured deals can be as complicated as we are willing to allow, but the complexities of Monte Carlo project modelling need not complicate value-at-risk calculation. Here, Andrew Klinger imports least-squares valuation…
Margin notes
Brett Humphreys explains how to measure and manage margin risk, an often-overlooked – yet often-significant – risk exposure
Mark-to-market accounting revisited
New risk disclosure and valuation regulations are aiming to revive energy trading in the US, but cumbersome accounting rules may put companies off hedging altogether, finds Catherine Lacoursière
An agency apart
The Financial Services Agency has more than its share of critics, thanks to controversial regulations and its handling of the banking crisis. A senior official at the agency talks about what lies ahead.
Legal risk optimisation
Allen & Overy's Carolyn Jackson discusses the importance of a quantitative approach to legal risk.
National regulators able to ‘opt out’ of Basel II maturity treatment
The Basel Committee on Banking Supervision, the architect of Basel II, has climbed down from its initial plans to force banks to include a full maturity adjustment on capital allocated against risk of defaulting loans, in its proposed mark-to-market…