Derivs - Interest Rate

HSBC expects volume in its bespoke interest rate indices to double in 2013 on the back of increased client interest in Asia, Europe and the Middle East, and as it expands distribution further in the Americas.

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.

Wells Fargo has hired Chul Park from Mizuho Securities to work on its interest rates derivatives trading team.

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.

Proposals from the British Bankers Association to discontinue nine tenors and five currencies in the London interbank offered rate framework should be delayed until March 2013, according to the International Swaps and Derivatives Association.

A lack of clarity in what U.K. regulatory authorities define as complex in relation to retail structured products is a serious concern for the industry, according to Timothy Hailes, chairman of the Joint Associations Committee.

The Futures and Options Association has hired Natasha Stromberg as manager of regulation in London.

The Financial Services Authority is seeking comments on its proposed approach to enacting recent government policy for the regulation of interest rate benchmarks, particularly the London interbank offered rate.

The U.S. Commodity Futures Trading Commission is expected to exempt regions from compliance to segments of the Dodd-Frank Act and will issue further no-action letters on the back of international pressure not to move too quickly with implementation of reforms, according to industry lobbyists.

Post-trade data management platform MarkitSERV has linked to the Japan Securities Clearing Corp. and is now transmitting yen rates trades to the clearinghouse.

Faisal Butt, head of euro swaps trading at Morgan Stanley in London, has joined Brevan Howard, also in London.