March 2013

'News' ESMA publishes draft RTS on CCP colleges 19 March 2013 | Bill Hodgson

Over here This will be key to how new products reach mandatory clearing.

'News' Gary gets Funky | Video 18 March 2013 | Bill Hodgson

Sourced from http://tabbforum.com/videos/genslers-last-dance (login required, but free) Totally irrelevant but notable, I assume from the recent conference

'Articles' The Evolution of Executing Futures– Part 1 | SingleDealerPlatforms.org 18 March 2013 | Bill Hodgson

A really good history of futures, which illustrates the passion by Gary Gensler to bring OTCs into the same framework.

'News' Streetwise Professor » Gary Knows Best: Not Good Enough, Even for Government Work. 18 March 2013 | Bill Hodgson

An excellent summary of the impasse within the CFTC on SEFs, and the arbitrary setting of holding periods for IM on swap futures.

'News' A few more guests 18 March 2013 | Bill Hodgson

I added three more guest writers, see http://theotcspace.com/profiles/ for more details. The final tally is:

'News' CME IRS Clearing starts today 18 March 2013 | Bill Hodgson

From the FT: @FTTradingRoom: CME Group's European interest rate swaps clearing starts in London today. Debuts with 7 currencies: GBP, EUR, CAD, AUD, CHF, JPY and USD Anyone know who CME have signed up for this? It would be interesting to know.

'News' FT article: BBG threatens to sue CFTC 16 March 2013 | Jon Skinner

FT article: BBG threatens to sue CFTC (subs required) Bloomberg has taken the first step towards suing CFTC over what they see as an un-level play

'News' Welcome to my Guest Contributors 15 March 2013 | Bill Hodgson

A variety of people are making a contribution to the site, each of their posts will show their profile at the bottom of the page.

'News' A view of the office 13 March 2013 | Bill Hodgson

I happen to be working with a client whose office is now right under St Paul's Cathedral. In the photo below (click the link), the entrance to the office can be seen just to the right of the tower down at ground level.

'News' Netting rules and balance sheets, US accounting Rules 12 March 2013 | Bill Hodgson

I came across this story which I need to read more, but it's an interesting analysis that US banks have a favourable accounting treatment which may attract change.

'Articles' VAR versus expected shortfall - Risk.net 09 March 2013 | Bill Hodgson

Given the report about the unsuitability of Expected Shortfall and back-testing, here's an article from 2007 by Risk which explains more.

'News' 300 Experts Drive Forward Progress on LEIs 08 March 2013 | Bill Hodgson

See the quote below, read the PDF, then enjoy your weekend. 300? WTF. Sorry. Update from the FSB: http://www.financialstabilityboard.org/publications/r_130308.pdf

'News' Read Scott O'Malia's Take Down of Today's CME-1001 Ruling 07 March 2013 | Bill Hodgson

Scott O'Malia doesn't mince his words, he's critical in a forensic take-down of the process for defining the reporting requirements within his own organisation. He abstained from the vote regarding CME-1001, his press release explains why.

'News' Exclusive: Deutsche Börse EMIR Reporting Service: TREMIR 07 March 2013 | Bill Hodgson

Exclusive to The OTC Space for now, a new reporting service from Deutsche Börse to facilitate accurate reporting of ETD and OTC business executed or cleared within the DB group.

'News' CFTC Approves CME 1001 - Will DTCC Sue? 07 March 2013 | Bill Hodgson

DTCC (Larry Thompson) may go after the CFTC or CME if he feels there is a case, with CME automatically delivering cleared OTCs into their own SDR. But, on rule 1001 they put this:

'News' OMX - Trade Reporting Service 06 March 2013 | Bill Hodgson

NASDAQ OMX intend to provide it's members connectivity into the other TRs such as DTCC or REGIS-TR to route ETD & OTC reporting data, sort of a consolidated feed service. See link below.

'News' DTCC › Public SDR Now Covers All 5 Asset Classes 06 March 2013 | Bill Hodgson

The DTCC public SDR portal now shows trades from Rates, Credit, Equities, FX and Commodities. Have a look at Fixed-Fixed IR Swaps - can anyone explain what purpose a fix-fix swap serves? Is it like a currency swap without the notional exchanges?

'News' Big Bang for IRS? Standardised Coupons Coming? 05 March 2013 | Bill Hodgson

Like the "big bang" for CDS which moved them to standard coupons, "The nonbinding proposal would see some of Wall Street's biggest customers trade interest-rate swaps on the same payment dates and coupons, rendering the contracts more like futures