UBS, CSFB To Offer Trac-X Products
UBS and Credit Suisse First Boston will start making markets in the Trac-X index of credit-default swaps this week. Trac-X combines the credit derivative indices of Morgan Stanley and JPMorgan and compromises of 100 of the most liquid default swaps. BNP Paribas is also a market maker in the index. Kris Kagel, spokesman at UBS, and John Gallagher, spokesman at CSFB, confirmed the move.
Separately, three more derivatives houses started offering credit derivatives indices referenced to iBoxx. This had started off as a Deutsche Bank and ABN AMRO product, but Citigroup, Dresdner Kleinwort Wasserstein and SG Corporate & Investment Banking now also offer the instruments.