This is the fourth of my series of over-the-counter (OTC) derivative primers. The first three covered the instruments, risk management and clearing. This post covers central clearing and central counterparty risk management issues.
I’ve written about the public FCM data in America a couple times before, most recently back in October 2015 here.
The 2008 financial crisis amplified regulatory focus for the entire industry. It was also a catalyst for a host of structural market changes across the globe that were tailored to prevent another crisis and protect investor interests. While regulators have focused on these structural reforms, market participants continue to innovate and as a result the use of technology and automation in trading has reached new levels. Increased market complexity and the application of technology for trading opens the door for greater use of quantitative metrics for monitoring, surveillance and enforcement of trading practices.
For anyone involved in preparing for the bilateral margin regulations in September 2016 and March 2017 the post below and background are important.
An on-demand compression service delivering capital savings on cleared trades is now available to banks through ClearCompress.
Liquidity Risk has shot into prominence since the subprime crisis because of the issues banks had with determining their ability to obtain funding and the tradability of their assets in a turbulent market.
Risk Focus were proud to field a few players at yesterday’s innings at the Kia Oval. Fortunately for yours truly as a Scotsman who is baffled by the sport (and assumes you need a Masters degree in Mathematics just to follow the score!), cricket was not on the agenda.
Tap into the latest developments in the listed derivatives and cleared swaps industry at the 9th Annual International Derivatives Expo. Sessions will be overflowing with valuable insights from exchange leaders, clearinghouse leaders, regulators, FCMs and buy-side participants.
Below is the press release for my most recent paper examining changes in the global FX market.
The Summit for Asset Management (TSAM) speaks for itself; hosting numerous co-located conferences across major financial hubs globally – including New York, Boston and London. OTC Space registered readers can take advantage of a special 20% discount.
In December 2015 the European Securities and Markets Authority (ESMA) issued a Consultation Draft of Regulatory Technical Standards (RTS) and Implementing Technical Standards (ITS) to help bring “more transparency to shadow banking activities”, with a focus on Securities Finance Transaction Reporting (SFTR).
Message Automation are proud sponsors of the FOW event taking place at the Crowne Plaza City Hotel later today (May 11th). David Farmery, COO, is joining the panel discussing ‘Trade and transaction reporting under Mifid II’.
It’s a common refrain among working women. “I think I’m going to be found out any day now. I’m a fake; I have no idea what I’m doing!” More than 70% of women suffer from Imposter Syndrome at some point in their careers.
Following the BCBS/IOSCO framework for margining un-cleared OTC business, a new proposal for OTC users in India emerges
The pressure for change in the way the capital markets operate is building relentlessly and the only way in which investment banks and other key players can remain successful will be to completely transform current business models.
After 2015's successful first time event, FOW Post Trade returns on 11 May.
An agreement has been reached between the European Parliament’s negotiating team and member state representative on how to effect the delay to MiFID II, according to this post on the web site of MEP Markus Ferber (in English at the bottom).
Hear from Kay Swinburne MEP, Dr. Hossein Kakavand, CEO, Luther Systems, Bart Chilton from DLA Piper (ex-CFTC Commissioner) and more. Topics include bitcoin versus blockchain, tax implications, the law and financial markets, digital currency guidelines, and applications beyond financial services.
Our video library is building up, we just added four more today from the TFE/OTCS breakfast briefing we ran on April 7th. The library currently contains:
A collection of videos from the April 7th breakfast briefing, explaining the latest service offerings in Collateral Management, the approach to preparing for the bilateral margin rules, and updates from NetOTC, CloudMargin, Clearstream and TriOptima.