Derivs - FX

A number of Chinese state-owned enterprises, Hong Kong corporates and Japanese high net worth investors have seen long-dated U.S. dollar/yen exotic swaps swing against them after the dollar fell under JPY80 on July 11.

Derivatives dealers are eyeing automated global collateral tracking and transformation systems as a means of differentiating themselves in post Dodd-Frank markets.

Goldman Sachs has hired Thomas Hollenberg to trade euro and sterling interest rate options.

A recent discussion paper from the European Securities and Markets Authority on Undertakings for Collective Investment in Transferable Securities exchange-traded funds and structured UCITS had investment managers asking what the regulator is trying to accomplish.

Foreign exchange option volumes spiked significantly in April, rising nearly 59% in daily volume over the previous year, according to a report from the Foreign Exchange Committee at the New York Federal Reserve released today.

Asian members of the G-20 countries may have a difficult time implementing regulations on derivatives clearing and trade repositories required by the group’s finance ministers by the late 2012 deadline, according to the International Swaps and Derivatives Association.

The European Securities and Markets Authority suggested in a consultation paper tit is considering imposing tougher requirements for the sale of UCITs exchange-traded funds and structured UCITs after concluding that the current standards do not sufficiently account for specific features and risks of the instruments.

The Bank of Korea has imposed restrictions on Kimchi bonds issued by domestic firms for the purpose of financing in the local currency following a joint investigation with the Financial Supervisory Service that revealed problems with the fx instruments.

The Polish presidency of the European Council narrowed the scope of the European Market Infrastructure Regulation to over-the-counter derivatives instead of all derivatives in its first stab at revising the legislation, in contrast to the last text from the Hungarian presidency.

The European Commission will be more specific in its exemption of financial contracts from a European Union Contract Law while also allaying fears that those contracts classed as sales contracts that have a derivative element to them will not be included, a senior official involved in the legislate process has told Derivatives Intelligence.

Non-resident investors in India may hedge rupee risk onshore via forwards and options, according to an announcement from the Reserve Bank of India.

Concerns surrounding extraterritoriality in forthcoming European and U.S. regulation in the derivatives market were the focus of conversation between market officials and Asian regulators at the International Swaps and Derivatives Association Asia Pacific Regulators Workshop in Hong Kong today.