The OTC Space | Category Archive | Central Counter Party

Standardised OTC swaps (TrueEx) to launch within weeks – Risk.net

April 19, 2013 by Bill Hodgson 18 Comments

Sunil Hirani who created CreditEx, now part of ICE, has built a new trading market TrueEx, and registered as a Designated Contract Market (DCM) with the CFTC. TruEx will offer trading in rate swaps but using standardised terms: Standard tenors: 2, 3, 4, 5, 6, 7, 8, 9, 10, 12, 15, 20, 25, 30 years […]

Bloomberg sues CFTC over derivatives rules – FT.com

April 16, 2013 by Bill Hodgson 2 Comments

What’s the difference if you take interest risk wrapped in a bond, a swap or a a future? BBG starts the process of exploring the sense in the CFTC deciding what’s liquid in a default, and therefore how long the IM holding period should be. It will be interesting to see whether the CFTC or […]

Swapfutures vs. swaps – buy-side views

April 15, 2013 by Jon Skinner 1 Comment

Some comments from buy side firms and SEFs on the CFTC’s and CCP’s differential treatment of economically equivalent swaps and swapfutures are contained here (Risk mag, subs). The gist is that margin advantage alone won’t make a sudden large scale shift from OTC swaps to swapfutures happen overnight but will play out over a longer period […]

Basel III, sefs

Can pitfalls of Central Clearing be avoided?

April 15, 2013 by Maria Leontiou 0 Comments

OTC clearing processes are officially up and running since March 11th for the US category 1 firms, but at the same time operational risk fears build up as market participants strive to fine tune all parts of the clearing chain. The industry realizes that it’s not a UAT period any more, it’s the real thing […]

Clearing, Dodd–Frank Wall Street Reform and Consumer Protection Act, Operational risk, otc, Risk management

ASX Default Rules Page 118

April 12, 2013 by Bill Hodgson 0 Comments

It’s Friday so I had to post something for the weekend. In the ASX default rules for futures, below is page 118, one of the easier ones to read, I like it’s simplicity and clarity of purpose. You can enjoy page 118 for yourselves here: http://www.asxgroup.com.au/media/PDFs/asx_clear_futures_operating_rules.pdf

ASX

clarity, default rules, simplicity

SwapClear Fee Structure Updated | Go Ultimate

April 10, 2013 by Bill Hodgson 2 Comments

SwapClear have published their new fee schedule which remodels the service fees around amounts of trade activity. Above 30,000 trades per year will cost £2.25m, and levels beneath that provide smaller charges with a cap. The client schedule may have been updated too but I don’t have the previous version of of the page. The […]

KDPW OTC CCP | Membership Update

April 10, 2013 by Bill Hodgson 0 Comments

News in from Poland regarding the KDPW CCP for IRS: Current membership: Raiffeisen PL BZ WBK (Santander group) Deutsche Bank PL Millenium Bank (BCP) Pekao SA (Unicredit) ING PL One of the reasons for recent joiners was a fee holiday which ended on March 31st. There is no news yet on trade volumes, it is […]

pekao sa, santander group, bank pl, bz wbk, millenium bank

SwapClear | 2013 Roadmap

April 10, 2013 by Tom Riesack 0 Comments

The SwapClear knowledge centre keeps on giving, the second item on the page below is the 2013 development roadmap for SwapClear, you can reach it via the link below, or download by clicking 198006_lch_roadmap_010_tcm14-63198. Does anyone know of an equivalent for ICE, CME, Eurex? Key aspects include (among others): Implementation of real-time trade registration Introdcution of […]

News, SwapClear

development roadmap, interest rate swap

Mandatory Clearing: One Month In, What Does the Data Show?

April 9, 2013 by Amir Khwaja 0 Comments

An analysis of trade activity data prior to and post the March 11th Dodd-Frank Act mandatory clearing deadline, published today on DerivSource. Read more here Amir K.