Derivatives - All Articles

  • CFTC and BoE tie up clearing agreement

    The US Commodity Futures Trading Commission and the Bank of England signed a memorandum of understanding on Tuesday regarding the oversight of derivatives clearing.

    • 22 Oct 2020
  • JP Morgan and Capula execute Sonia trade on Tradeweb

    JP Morgan and Capula have executed a Sonia swap against a Gilt future on Tradeweb, in what the trading venue provider says is the first electronic execution of such a trade for institutional investors.

    • 22 Oct 2020
  • Permira splashes cash on Lowell rescue ahead of 2021 NPL splurge

    Permira opted to rescue its debt purchasing portfolio company Lowell from the restructuring that many thought was imminent, with the largest slug of equity support any sponsor has injected in Europe since the coronavirus pandemic began. Covid-19 has crushed cashflows for some debt purchasers, but next year should be a bumper year for NPL buying — for those firms with cash to do so, writes Owen Sanderson.

    • 22 Oct 2020
  • CCP Sofr switch gives needed boost to Libor move

    The transition from Ibor benchmarks passed a major milestone this week, when LCH joined CME in switching its discounting rate for dollar referencing derivatives from the Fed Funds Rate to Sofr.

    • 21 Oct 2020
  • Perkins and Wilson take Citi clearing reins after Kemp departure

    Citi has appointed Christopher Perkins and Sabrina Wilson as global co-heads of its futures, OTC clearing and FX prime brokerage business, following Jerome Kemp’s retirement from the industry.

    • 16 Oct 2020
  • ISDA fallback boost gives needed spur to Ibor transiton

    The International Swaps and Derivatives Association broke ground earlier this month in Libor transition when it the US Department of Justice approved its derivatives fallbacks. Market participants now face a busy few weeks working out if the protocol fits their differing needs.

    • 15 Oct 2020
  • Short vol opportunities open up amid US options swings

    Amid heavy options trading activity ahead of a US election that most market participants expect to be bitterly contested and drawn out, opportunities are opening up to play the short volatility position that had proven so popular before the pandemic.

    • 15 Oct 2020
  • JP Morgan and Unilever execute chunky Sofr swap

    A weighty corporate hedging transaction has added to the momentum of the US rates market’s transition from Libor. JP Morgan executed a $500m swap referencing Sofr with a blue chip corporate, Unilever.

    • 14 Oct 2020
  • TP ICAP prepares for fixed income push with Liquidnet buy

    Interdealer broking giant TP ICAP has advanced further into buy-side revenue streams, with specific plans to target fixed income markets, as it clinched its acquisition of trading platform provider Liquidnet for an initial $575m last Friday.

    • 09 Oct 2020
  • ISDA seeks repo, SFT and derivatives doc synergies

    The International Swaps and Derivatives Association this week signalled its ambitions to unify documents for derivatives, securities financing transactions and repo markets.

    • 08 Oct 2020
  • Eurex accommodates new strategies with new ESG line

    Greater ESG sophistication is coming to the listed derivatives market, with Eurex Exchange announcing on Wednesday that it intends to launch new contracts that apply a new methodology for ESG exposure.

    • 07 Oct 2020
  • Long road to Brexit throws up hedging conundrum

    Political uncertainty over the UK’s trade negotiations with the EU and the Bank of England’s flirtation with negative interest rates are creating a conundrum for foreign investors, with the timing of protecting an FX position proving hard to judge.

    • 02 Oct 2020