Derivs - Credit

The International Swaps and Derivatives Association is working on amendments to section 2(a)(iii) of its master agreements to reduce legal disputes in cases of default.

Changes to the terms and conditions of Allied Irish Bank’s subordinated debt create credit events for the credit default swaps and could result in protection buyers being paid, according to strategists at BNP Paribas.

Hussein Dbouk, a trader of single-name sovereign credit default swaps and credit indexes at Citigroup in London, has left the firm just over a year since joining.

The European Securities and Markets Authority has agreed on the final rules for the risk management and calculation of global exposures for structured UCITS funds.

Natixis Asset Management has purchased three-month put options on the euro against the U.S. dollar as an indirect hedge against the deterioration of European sovereigns and the resulting impact on the equities market.

Hedge funds are zeroing in on more complicated trading strategies, such as volatility trading and credit spreads, using electronic news feeds.

Scott O'Malia, commissioner at the Commodity Futures Trading Commission, questioned the commission’s margin proposal that seems to require individual segregation of customer margin accounts for over-the-counter derivatives.

Tan Sri Zarinah Anwar, chairman of the Malaysia Securities Commission, said government-backed growth in the derivatives market is an integral part of the newly announced Capital Markets Masterplan 2.

Royal Bank of Scotland has lost four institutional and corporate solutions structurers in Hong Kong, including Chun Ng and Steven Tsang, both directors, according to an official familiar with the moves

Sandler O’Neill + Partners has enhanced its fixed-income group with five new hires.

PARIS – End users over the past month have been showing more interest in contingent credit default swaps linked to cross currency swaps as concern over sovereign defaults has grown.

PRAGUE – The International Swaps and Derivatives Association has elected Stephen O’Connor, managing director and global head of over-the-counter client clearing at Morgan Stanley, as the association’s new chairman.