Derivs - FX

To take advantage of expensive topside volatility on the U.S. dollar against the Korean won, BNP Paribas is pitching a range of mid-term trades that sell USD/KRW vol and monetize topside skew.

At least one bank is publicly proclaiming what many others have been talking about privately in the wake of tighter U.S. regulations. Frank Pucci, a senior compliance official at ANZ, told an Asian conclave this week that his firm is really benefiting from having full access to the U.S. markets, yet is able to attract business from non-U.S. counterparties in Asia who want to avoid compliance with Dodd-Frank.

A EUR900 million trade rocked the London options markets this morning.

To position for a potential further steepening of the Hungarian interest rate swap curve on the back of further monetary policy easing, Credit Suisse is pitching 2s5s IRS steepeners.

Japan and Australia will become the two largest central clearing markets in the Asia Pacific region when client clearing rules are implemented there sometime in early 2014, according to speakers at the Futures and Options World Derivatives World Asia conference in Hong Kong today.

Futures dealers, traders and exchanges will benefit from increased volumes as the industry continues forward with the futurization of the swaps market, claimed speakers at the Futures and Options World Derivatives World conference in Hong Kong today.

Hoi Ng, an fx structurer at Morgan Stanley in Hong Kong, resigned on Tuesday.

The Australian Securities & Investment Commission has opened up trade reporting of over-the-counter derivatives to foreign firms looking to operate trade repositories.

Regulatory proposals surrounding margin requirements for non-cleared derivatives may increase risk, hamper economic growth and result in the implementation of unsuitable hedges by market participants.

Target accrual redemption notes are starting to stoke buyer interest again following the recent spike in fx risk-appetite, with options officials tipping the product for further growth.

The Depository Trust & Clearing Corp. has landed approval as Japan’s first third party-trade repository, as the Japan Financial Services Agency moves to implement an April 1 deadline for the reporting of over-the-counter derivative trades.

Japanese investors this year are shunning complex structured products, such as so called double and triple deckers, in favor of simpler equity and fx bond funds.