Derivs - Interest Rate

There is an “electronic arms race” going on amongst global banks, says Jeff Feig, global head of g10 fx at Citigroup in New York.

Aaron Comerford, counsel in Allen & Overy’s derivative practice in Tokyo, has moved to Clifford Chance.

Credit Suisse has launched the first structured product linked to its HS Global Style Rotation Equity Hedged Index.

A non-U.S. based hedge fund snapped up USD2 billion of puts on the euro/U.S. dollar from Morgan Stanley this week.

Morgan Stanley has dropped four executive directors in fx and rates derivatives sales in New York. Thomas Doyle and David Zakaiem were let go in FX derivatives sales, while Noel Freeman and Tony Lopiccolo left from the rates group.

Dealers are looking to bring structured product issuance platforms and hedging operations, which have traditionally been housed in separate entities, into one single entity.

The Bank of International Settlements has flagged potential data gaps for over-the-counter derivatives trade repositories and what steps should be taken to address such issues.

Deutsche Bank and Fortinbras Asset Management have launched an Undertakings for Collective Investment in Transferable Securities fund that aims to capture trends in interest rate, commodity, foreign exchange and fixed income markets.

Hong Kong is likely to see more synthetic exchange-traded funds referencing commodities and fixed income this year. Firms are targeting the asset classes on the back of a lift from a spate of ETF approvals by the Securities and Futures Commission.

The U.K. Financial Services Authority is being pressed to not regulate structured product pricing by industry groups who argue there is no evidence to back intervention.

As the market returns to more normal trading after the holiday period, we look this week at the behavior of the major markets and analyze the potential positions in short term index options over the coming weeks.

Korea Exchange is planning to launch a clearing house for over-the counter derivatives in the fourth quarter, beginning with interest-rate swaps, according to Kim Jingyu, president of the bourse’s derivatives operations.