Derivatives
Prices diverge as CVA exemption remains in limbo
Dealers face pricing headache as they wait to see whether Europe's version of Basel III will exempt corporate customers from the CVA capital charge
CME client clearing hits two more currencies
Following the clearing of the first NDF trade through CME Group in late April, the exchange has cleared client trades denominated in Chinese renminbi and the Philippine peso over the past month
FXall unconcerned by late entry into FX options
FXall’s chief executive Phil Weisberg recognises the firm has moved into options later than some of its competitors, but believes it will add value by having options integrated into its platform
Libor manipulation lawsuits could cost banks ‘tens of billions’
Barclays' $450m settlement gives lawyers smoking gun evidence of attempts to tamper with benchmark rates
Investors seek alternative forex hedges for euro crisis
Australian dollar, renminbi and CE3 currencies touted as alternative macro hedges for European debt woes
Bank of England to post collateral in OTC derivatives trades
BoE thought to be the first major central bank to change policy on collateralisation as it seeks to reduce dealer funding charges
FX Week China: CNH/CNY forward divergence threat has stabilised
A reversal of the spread between offshore deliverable forwards and onshore NDFs that caused pain for speculators last year is unlikely to recur, say economists
Dealers pitch loan format for swaps as CVA dodge
Banks are offering to replicate the economics of OTC swaps in loan format - avoiding new capital and clearing rules
EU regulators prepare for frenetic countdown to Emir deadline
Senior officials expressed concern yesterday about the volume of work on derivatives reform that must be completed in a very short timeframe
No need for Sef Clarification Act, says CFTC's Gensler
Dodd-Frank requires transparency for derivatives trading, CFTC chair says - and final Sef rules will reflect that
CME kicks off client clearing ahead of competitors
CME stole a march on rivals when it cleared its first NDF last week, as the Brazilian real contract was a client trade
LCH.Clearnet splits default fund
UK-based clearer gets member approval to break up default fund - part of a package of measures responding to CFTC limits on clearing house membership criteria
Brakes remain on FX options clearing, despite regulatory easing
CPSS-Iosco working group ruled last week that CCPs do not have to guarantee settlement, but participants recognise the issue still has some way to run before options can be centrally cleared
Isda working group close to finalising standard CSA
Latest proposal extends number of silos from five to 17, mirroring approach taken by LCH.Clearnet
Canada clearing paper will not address CCP location question
A consultation on OTC clearing is expected in the coming months, but a key question will not be answered
FXCM and SuperDerivatives to add new pairs to options platform
Since its launch in July last year, the DCX joint venture has now attracted nine liquidity providers and plans to add new emerging market pairs
Spotlight on: Valérie Perez, Deutsche Bank
Deutsche’s head of foreign exchange distribution for France, Benelux and Switzerland talks to Chiara Albanese about the changing demands of the bank’s corporate clients in continental Europe
Banks welcome Tradition-Icap’s volatility fix
The daily fix could pave the way to the creation of new volatility-based derivatives, say participants
Margin rules for uncleared FX rest with regulatory working groups
Regulators must adopt a calibrated approach to mandated collateral so that short-dated FX swaps and forwards are not caught up in the rules unnecessarily, argue market participants
Digital Vega debuts Traiana’s updated credit and risk service
Post-trade technology provider Traiana has this week launched a new version of Harmony CreditLink to support FX derivatives, with Digital Vega's Medusa the first platform to roll it out
Spotlight on: Nigel Khakoo, Nomura
Nomura's newly appointed global head of FX options talks to Miriam Siers about why he chose to join the Japanese bank after a career at JP Morgan, Merrill Lynch and Citi, and how he is navigating the challenges facing the options market as a result of…
Tradeweb joins multibank FX options fray
The launch of Tradeweb’s multibank platform for FX options puts the vendor into competition with a host of other new platforms
Afme liquidity conference: Buy side pushes for greater control of FX execution
Tools such as transaction cost analysis and execution management systems, traditionally deployed in trading equities, are becoming more important for buy-side FX traders, says Axa IM’s FX trading head
Spotlight on: Damian Glendinning, Lenovo
The Chinese PC manufacturer’s group treasurer talks to Joel Clark about his role in setting up a global treasury function when Lenovo bought IBM’s PC business in 2005, and explains his belief that FX risk management should be kept as simple and…