Derivs - People and Markets

LCH.Clearnet has tapped Stephen Patriarco, the former global head of derivatives operations, futures, margin and collateral management at Merrill Lynch, as global head of collateral services and U.S. head of collateral and liquidity management.

A Chinese over-the-counter central clearing counterparty will not be recognized internationally until China strengthens netting and insolvency laws and refinements are made to the Shanghai Clearing House’s default management protocol.

NYSE Euronext reported that global derivatives average daily volume fell 11.9% in May from a year earlier. European derivatives volume dropped 22.1% from 12 months earlier, according to NYSE Euronext.

OppenheimerFunds has agreed to pay USD35 million to settle charges by the U.S. Securities and Exchange Commission that it made misleading statements about its use of total return swaps to boost exposure to commercial mortgage-backed securities in two of its mutual funds.

Bank of America, Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley and Wells Fargo together hold more than 75% of derivatives assets and liabilities among 100 large U.S. companies that Fitch Ratings has reviewed.

The International Swaps and Derivatives Association has teamed up with Markit to develop a program that enables counterparties to amend their over-the-counter derivatives documentation and facilitate compliance with Dodd-Frank regulatory requirements.

Morgan Stanley is said to have reopened its fixed-income trading desk in Canada after it had been closed for more than a decade.

Aviva Investors has launched the Aviva Investors Global Short Duration High Yield Bond Strategy, managed by a team led by Todd Yongerberg and Jeremy Hughes.

Cowen Group has hired Robert Fagin as director of research and Philip Cushman as head of equity sales at Cowen and Co. Fagin and Cushman both joined the firm from Jefferies.

HSBC has agreed to sell HSBC Securities, its Greek equities broking business, to a group of investors led by managing director Nikos Pantelakis.

Renaissance Capital has named Ronnie Golan as head of investment banking for Africa.

The Securities and Markets Stakeholder Group, an influential division of the European Securities and Markets Authority, has criticized a proposal from the pan-European regulator for technical standards on margin calculation models for central counterparties.