Derivs - Credit

Tradeweb has hired Helia Sobreira as a credit default swap product manager in London in a new role.

The Swiss Financial Market Supervisory Authority has ordered UBS to improve processes and controls for the submission of interest rates data for benchmarks. This comes after UBS was fined approximately USD1.5 billion by U.S., U.K., and Swiss regulators for attempting to manipulate the London interbank lending rate and other interest rate benchmarks.

The Australian Securities and Investments Commission has released regulatory guidance for domestic and overseas clearing and settlement providers wanting to operate within the domestic Australian market.

Now could be the time to enter a flattener strategy on the iTraxx Main 3-5y curve with quantitative signals showing the curves are beginning to look too steep, say Société Générale strategists.

NASDAQ OMX Nordic will clear Swedish krona denominated interest rate swaps for client trades from February 2013.

Paul Ellis, managing director in yen interest rates trading at Credit Suisse in Tokyo, has joined Brevan Howard in a similar role.

JPMorgan is advising investors to position for a likely increase in the directionality of forward U.S. yield curves by entering a conditional one-year forward 2s/10s bull flattener constructed with three-month expiry mid-curve swaptions.

Regulatory proposals for initial margin requirements for non-centrally cleared derivatives will severely impact liquidity and could increase systemic risk, according to trade associations.

A new strategy of selling cross-asset short maturity out-of-the-money strangles, while deploying a shadow profit and loss risk enhancement, has been devised by Société Générale as a way to monetize the tail premium within options volatility.

Market participants in Asia are shifting focus from the extraterritoriality implications of the U.S. Dodd-Frank Act to the European Market Infrastructure Regulation, with concerns that many clearinghouses in the region may not be able to register under the E.U. rules.

Bevan Harris, an Asia rates trader at Credit Suisse in London, has joined Brevan Howard in a similar role, according to an official familiar with the move.

Structured investment products dominate Hong Kong’s non-exchange traded investment landscape, with transactions accounting for 56% of the HKD584 billion market up to March 31, 2012, according to a Hong Kong Securities and Futures Commission survey.