Derivs - Equity

Bart Chilton, a member on the U.S. Commodity Futures Trading Commission, said differing regulations for derivatives between the U.S. and Europe could lead to a “race to the bottom,” with players migrating to the poorest regulated jurisdictions.

The International Monetary Fund said new regulations governing over-the-counter derivatives could shift risk from banks to clearinghouses, leading to concerns about those systemically important facilities.

Nomura Holdings has appointed 13 new group senior managing directors, including several investment-banking and equities heads.

A European Central Bank recommendation for the European Securities and Markets Authority to set up a trade repository-like mechanism for collecting information on net short positions appears to be the regulators’ way of tying together disparate pieces of regulation.

Shawn Bernardo is vice chairman of the Wholesale Markets Brokers’ Association Americas and is also managing director and head of electronic broking for the Americas at Tullett Prebon in New York. He spoke to Associate Reporter Mike Kentz on the aspects of current regulatory proposals in the U.S. aimed at SEFs.

Eric Lafon, head of structured solutions in Europe, the Middle East and Africa at UBS in London, has been promoted to co-head EMEA distribution for fx, interest rates, currencies and commodities.

Regulatory attempts in Europe to require specific payout profiles in base prospectuses or prospectus supplements for retail structured products would be detrimental to improving product transparency, according to the European Structured Investment Products Association.

Three industry veterans have launched asset management advisory firm Silverhorn Investment Advisors in Hong Kong.

The bankruptcies of several large institutions have highlighted a potential ambiguity within the International Swaps and Derivatives Association’s Master Agreement relating to Section 2(a)(iii). Specifically, several courts have addressed the issue of whether a party can exercise its rights under Section 2(a)(iii) to withhold payment indefinitely following the bankruptcy of its counterparty without declaring an Early Termination Date. This article compares the recent rulings and offers some negotiating options for counterparties to consider.

Alain Chanezon, head of equities and fund structured markets exotics trading at Barclays Capital in Hong Kong, resigned last week.

The China Banking Regulatory Commission is considering setting risk capital for derivatives on a firm-by-firm basis.

Daiwa Capital Markets has named Ali Khan as managing director and head of Asian equity sales.