News

Current Articles | RSS Feed RSS Feed

Clearing House Stand-Off to Causes Fragmentation, says ISDA Chief

May 13, 2015, The Trade

The chief executive of Wall Street’s derivatives trading body believes a failure to agree on clearing house equivalence and margin rules between European and US regulators could cause further fragmentation in the swaps market.

In an online blog from Scott O’Malia, CEO of the International Swaps and Derivatives Association (ISDA), said market participants will be forced to trade along geographic lines due to different margin requirements between the US and Europe. The result could mean higher costs and systemic risk.

full article describe the image (subscription)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

Mooted Clearing of Options on Credit Indices Raises Concern

By Joe Rennison
May 12, 2015, Financial Times

The chief executive of Wall Street’s derivatives trading body believes a failure to agree on clearing house equivalence and margin rules between European and US regulators could cause further fragmentation in the swaps market.

In an online blog from Scott O’Malia, CEO of the International Swaps and Derivatives Association (ISDA), said market participants will be forced to trade along geographic lines due to different margin requirements between the US and Europe. The result could mean higher costs and systemic risk.

full article describe the image (subscription)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

Scott O’Malia: Time for a Regulatory Time Out

By Duncan Wood
April 21, 2015, Risk

Isda chief calls for a pause in rule-making to "fix the errors", as the association heads into its thirtieth annual general meeting.

A time out, a stock-take, a chance to fix some problems – that is what Scott O'Malia, chief executive of the International Swaps and Derivatives Association wants from regulators as Isda heads into its thirtieth annual general meeting, with post-crisis reforms still the industry's biggest headache.

full article describe the image (subscription)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

Derivatives Squabble Reaches Crunch Point

By James Rundle
April 20, 2015, Financial News

Tempers are beginning to fray in the derivatives industry. This month, the boss of one of the biggest US trading venues spoke publicly of the power of the US authorities to retaliate against European institutions, and the head of an international trade body made soothing noises about flexibility.

The tension has its origins in the G20 meeting in Pittsburgh in 2009 that agreed to reduce the risk of derivatives trading by making it more transparent. This was a sensible idea in principle, but in practice it is threatening to fracture a multi-trillion dollar global market, because devising the new rules was not done at global level.

full article describe the image (subscription)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

OTC Rates Trading Trends Shift Under New Regs

March 16, 2015, The Trade

Market participants traded more OTC interest rate derivatives in 2014, but in smaller sizes according to a review.

The International Swaps and Derivatives Association (ISDA) found that average daily notion volume fell from $588 billion in the first quarter of the year to $484.4 billion in the fourth quarter.

full article describe the image (subscription)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

ESMA Urged to Change 1-Trade-Per-Day Liquidity Definition

By John Bakie
March 5, 2015, The Trade

The European Securities and Markets Authority (ESMA) is being urged to recalibrate its proposed liquidity thresholds for some classes of derivative, after its December consultation paper appeared to indicate products with as few as one trade per day would be considered liquid.

In a media briefing today, Scott O’Malia, CEO of the International Swaps and Derivatives Association (ISDA) and a former Commodity Futures Trading Commissioner said proposals in MiFID II risk applying a “liquid instrument” term too broadly, which will ultimately harm trading in many less liquid products.

full article describe the image (subscription)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

CFTC Official Tied to Wall Street Profits from Merger Fight

By Robert Schmidt
January 22, 2015, Bloomberg News

In moving from the private sector to government, the newest Republican member of the Commodity Futures Trading Commission has acquired potential conflicts that ethics lawyers say could force him to stay away from matters involving major companies regulated by the agency.

J. Christopher Giancarlo joined the CFTC in June after working at a derivatives brokerage and serving as chairman of an industry lobbying group. Six weeks later CME Group Inc., the world’s largest futures exchange, made an offer to buy Giancarlo’s former employer. In short order, his old firm’s stock price surged, adding an extra windfall to Giancarlo’s multimillion dollar severance as he divested his holdings.

full article describe the image (free)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

Non-Cleared Derivatives Margin Rules Worry Market

January 6, 2015, The Trade

Banks and broker-dealers are uncertain whether they will be able to meet new collateral requirements for non-cleared derivatives, according to a survey from the International Swaps and Derivatives Association (ISDA).

International regulators are set to finalise the rules this year, and according to ISDA’s results, around two-thirds of respondents said they were concerned, or somewhat concerned, about their ability to meet the requirements. 

full article describe the image (subscription)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

Q&A: Scott O’Malia, CEO, ISDA

By Beth Shah
January 5, 2015, GlobalCapital

Harmonisation and crossborder issues are key concerns for the International Swaps and Derivatives Association as markets enter 2015. As Scott O’Malia, CEO of ISDA and former commissioner at the Commodity Futures Trading Commission, tells Beth Shah, regulators need to ensure that crossborder oversight is based on risk and not location.

GlobalCapital: What are the stumbling blocks for crossborder reconciliation of derivatives regulation, and what role will ISDA play in regulatory harmonisation?

full article describe the image (subscription)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

ISDA’s O’Malia: CFTC Rules Need Reassessing

By Zoe Thomas
December 10, 2014, International Financial Law Review

Six months after becoming chief of the global OTC trade body, Scott O'Malia discusses his plans for the cross-border derivatives market. 

It's been a year of change for Scott O'Malia. In July he resigned as commissioner of the Commodity Futures Trading Commission (CFTC). A month later, he became CEO of the International Swaps and Derivatives Association (ISDA).

full article describe the image (subscription)

SocialTwist Tell-a-Friend Related Posts with Thumbnails
All Posts