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◆ Public sector issuers embrace hedge fund bid... ◆ ... as they flex in the swap market ◆ Car makers welcomed back to bond market
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New contracts cannot yet be traded in US
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  • Varden Pacific, a new hedge fund launched in San Francisco in April, has bought USD4 million of a tranche of a legacy synthetic collateralized debt obligation created in 2005 maturing in 2013. The deal references credit default swaps on corporate debt.
  • Asian members of the G-20 countries may have a difficult time implementing regulations on derivatives clearing and trade repositories required by the group’s finance ministers by the late 2012 deadline, according to the International Swaps and Derivatives Association.
  • The European Securities and Markets Authority suggested in a consultation paper tit is considering imposing tougher requirements for the sale of UCITs exchange-traded funds and structured UCITs after concluding that the current standards do not sufficiently account for specific features and risks of the instruments.
  • The Bank of Korea has imposed restrictions on Kimchi bonds issued by domestic firms for the purpose of financing in the local currency following a joint investigation with the Financial Supervisory Service that revealed problems with the fx instruments.
  • Deutsche Bank tops the list of European banks that have derivatives contracts with various levels of Italian government, according to European Bank Authority’s findings in recent stress tests.
  • Guy Shahar, a former equity derivatives trader at Goldman Sachs, has formed DSAM Partners, a new hedge fund, together with James Diner, a managing director at Marble Asset Management.