Derivatives - All Articles

  • Open access faces new threat as doc shows new delay rationale

    Open access, the much fought over and delayed section of the second Markets in Financial Instruments Directive (MiFID II), is facing further pushback, according to a European Council document seen by GlobalCapital.

    • 30 Apr 2020
  • Cboe and FTSE Russell extend options agreement by 10 years

    Cboe Global Markets and FTSE Russell have extended an agreement that will give the derivatives exchange exclusive rights to create options on the latter’s indices.

    • 30 Apr 2020
  • Structured equity products blow up at SG

    Société Générale’s equities division posted a 99% year-on-year drop in revenues for the first quarter on Thursday, contributing to an overall loss in both the wholesale division and for the bank overall.

    • 30 Apr 2020
  • Quintenz prepares for CFTC departure

    Brian Quintenz, one of the Republican commissioners on the US Commodity Futures Trading Commission, has announced that he will not seek another term at the regulator.

    • 29 Apr 2020
  • WTI under renewed pressure as index jettisons June futures

    Extreme selling pressure moved swiftly from the May to the June West Texas Intermediate (WTI) crude oil futures this week as index-tracking investors abandoned the front-month contracts to get ahead of oversupply concerns.

    • 28 Apr 2020
  • ETF futures dump renews spectre of negative WTI

    The possibility of oil prices returning to negative territory snapped back into focus on Monday, as the USO ETF, which holds a large proportion of West Texas Intermediate front month futures, decided to roll its positions this week.

    • 27 Apr 2020
  • Fitch warns on Sofr, flagging coronavirus risk for CME and LCH

    The Covid-19 coronavirus is complicating the Libor transition and could even damage the risk profile of CME Group and LCH, Fitch Ratings has warned.

    • 24 Apr 2020
  • Levfin losses and deriv hedges weigh on Credit Suisse

    Credit Suisse took a $294m hit from marking leveraged finance underwriting exposure to market in the first quarter, its results on Thursday showed, as March’s volatility and jump in credit spreads took their toll.

    • 23 Apr 2020
  • Breaking with Tradition: Marcus leaves firm

    One of the co-heads of the London Group of Tradition, the interdealer broker that is one of the largest in the over-the-counter derivatives market, is leaving the firm.

    • 22 Apr 2020
  • Oil havoc threatens industry’s access to capital

    The oil industry’s ability to raise money in capital markets is coming under severe strain, as the coronavirus pandemic is forcing all analysts to tear up their assumptions and bringing unprecedented volatility in prices.

    • 21 Apr 2020
  • Derivs calendar loses another event as FIA pulls IDX

    The derivatives industry’s 2020 events calendar is even thinner, as the Futures Industry Association has cancelled its annual London event.

    • 21 Apr 2020
  • Eyes on ETFs after WTI oil plummets through negative barrier

    The shock WTI oil price drop this week sent market participants looking to exchange-traded fund (ETF) holding futures that reference the US benchmark, which have to roll their contracts next month.

    • 21 Apr 2020
  • Turkish swap line ambitions met with scepticism

    Market participants have dismissed the viability of Turkey extending its swap line arrangements with the US Federal Reserve this week to enhance the country's access to dollars. They also noted that little has happened to change their bearish outlook on the sovereign.

    • 20 Apr 2020
  • UBS makes Mahony corp DCM head

    UBS has made Paul Mahony head of corporate debt capital markets and derivatives for Europe, the Middle East and Africa, following on from Barry Donlon’s appointment as head of DCM for the region.

    • 17 Apr 2020
  • Shorters' ire continues as France extends ban

    European short sellers were dealt another blow on Wednesday as the Autorité des Marchés Financiers (AMF) decided to extend its ban on short selling.

    • 16 Apr 2020
  • Hedge funds eye entry into market making business

    More hedge funds are looking into entering the market making industry, following in the footsteps of Citadel Securities.

    • 16 Apr 2020
  • Bond issuance spree boosts US bank results

    US banks this week reported stellar returns from trading and underwriting in the first quarter, even as the bottom line was hit by gigantic writedowns and reserves for credit losses, as the economic and financial disruption from the coronavirus crisis took its toll.

    • 16 Apr 2020
  • Libor push-back unlikely for now, but corporates will seek clarity

    The coronavirus pandemic has put some major market regulation on ice, but not the Ibor transition, the most far-reaching financial reform still on market participants’ to-do lists.

    • 16 Apr 2020
  • Flickers of trading in SRT market as credit funds seek cash

    Synthetic risk transfer deals from Deutsche Bank, Santander and Standard Chartered have been seen changing hands, as certain credit funds look to free up cash by selling assets that have drastically outperformed equity and junior debt in leveraged loan CLOs. Risk transfer deals are often bilateral and privately negotiated, with little or no public reporting, and usually held to maturity by the specialist funds that buy them.

    • 16 Apr 2020
  • Loss provisions blow out at US banks

    US banks ramped up reserves for credit losses, expanded credit lines and enjoyed bumper trading and debt underwriting volumes in the first quarter, according to results released on Tuesday and Wednesday.

    • 15 Apr 2020
  • Covid crisis pushes Brussels to delay finance agenda

    Reviews of key areas of legislation such as MiFID II, bank capital requirements and Solvency II have been pushed into the future, as the European Commission puts green and digital regulation first.

    • 15 Apr 2020
  • NatWest Markets pushes ahead with job cuts

    Royal Bank of Scotland is pushing ahead with job cuts in its investment banking division, bucking a trend by big banks to delay restructuring plans and cost-cutting during the coronavirus crisis.

    • 09 Apr 2020
  • LCH clears record numbers across asset classes

    LCH has come through the extreme volatility of February and March to clear record levels of derivatives across its interest rate, FX and credit derivatives arms.

    • 08 Apr 2020
  • DRW selects OpenGamma for margin tech

    Prop trading firm DRW has selected OpenGamma, the regulatory technology provider, to manage derivatives margin in its treasury.

    • 08 Apr 2020
  • Sofr derivatives boom as virus creates volatility

    Trading in CME Group’s Sofr derivatives hit record levels during March, as the exchanges and clearing group enjoyed soaring demand for its futures and cleared swaps.

    • 07 Apr 2020
  • Industry’s quick win on IM raises questions

    The derivatives industry had a surprisingly quick win late on Friday when the Basel Committee on Banking Supervision (BCBS) and the International Organisation of Securities Commissions (IOSCO) authorised a one-year extension to the final phases of initial margin (IM) regulation.

    • 06 Apr 2020
  • Ex-TriO sales head joins former boss at CloudMargin

    David White, formerly a sales head at CME-owned TriOptima, has joined his former boss Stuart Connolly at CloudMargin, the collateral management technology provider.

    • 02 Apr 2020
  • Calm in cross-currency after Fed soothes dollar trauma

    The US Federal Reserve’s unprecedented injections of dollar liquidity calmed conditions after a chaotic month in the cross-currency swap market’s short-end, but traders are looking at its effects on the primary bond markets as the next test.

    • 02 Apr 2020
  • Rare bullish companies still buying own stock

    As the coronavirus eats into the global economy, most companies are putting their share buy-back programmes on hold — but there are exceptions. ContourGlobal, which generates power in emerging markets, has launched a new buy-back programme, while Philips is using an unusual derivative technique to adapt its plan to crisis conditions.

    • 02 Apr 2020
  • IG Group launches prime brokerage unit

    IG Group, best known for its online index trading and contract for difference franchise, has launched a prime brokerage service targeting smaller institutions such as start-up hedge funds and family offices.

    • 01 Apr 2020
  • Fed’s repo pump another tool in the war for dollars

    The US Federal Reserve’s Tuesday action to set up a repo market with other central banks has provided further ammunition in the fight for global dollar liquidity.

    • 01 Apr 2020