Author: United States. Commodity Futures Trading CommissionPublisher:
ISBN:
Category : Derivative securities
Languages : en
Pages : 196
Book Description
OTC Derivative Markets and Their Regulation
Author: United States. Commodity Futures Trading CommissionPublisher:
ISBN:
Category : Derivative securities
Languages : en
Pages : 196
Book Description
Study of Swaps and Off-exchange Derivatives Trading
Author: Commodity Futures Trading Commission (Washington)Publisher:
ISBN:
Category :
Languages : en
Pages : 174
Book Description
OTC Derivative Markets and Their Regulation
Author: United States. Commodity Futures Trading CommissionPublisher:
ISBN:
Category : Foreign exchange futures
Languages : en
Pages :
Book Description
OTC DERIVATIVE MARKETS AND THEIR REGULATION
Author: Stati Uniti d'America. Commodity Futures Trading CommissionPublisher:
ISBN:
Category :
Languages : en
Pages : 174
Book Description
OTC Derivatives: Bilateral Trading and Central Clearing
Author: David MurphyPublisher: Palgrave Macmillan
ISBN: 9781137293855
Category : Business & Economics
Languages : en
Pages : 304
Book Description
The OTC derivatives market has been hit by a massive wave of regulatory change. Capital and margin requirements have increased, trade reporting has been mandated, and execution mechanisms are evolving. Most of all, central clearing is being imposed for many transactions. OTC Derivatives: Bilateral Trading and Central Clearing explains the new rules and the new models. It discusses the traditional bilateral market, then sets out how this will change due to mandatory central clearing and the new ways in which OTC derivatives will have to be traded, reported, and processed. The risks of OTC derivatives clearing houses are discussed in detail, as are the protections that CCPs have against these risks. The book also looks at alternatives to some of the policy decisions that have been made, showing the balance between costs and benefits of various different approaches to derivatives market stability. The book is both a detailed primer on OTC derivatives clearing and a powerful insight into post-crisis financial regulation. Key features of the book include: • A discussion of the capital rules for OTC derivatives counterparty credit risk in Basel III; • An account of OTC derivatives trade processing in both bilateral and cleared markets; • A detailed account of the risk profile of OTC derivatives CCPs; • An explanation of the risks run in various collateral segregation models; and • A comparison of various macro-prudential tools for enhancing the financial stability of OTC derivatives markets.
Regulation and Supervision of the OTC Derivatives Market
Author: Ligia Catherine Arias-BarreraPublisher: Routledge
ISBN: 1351797719
Category : Business & Economics
Languages : en
Pages : 215
Book Description
The over-the-counter (OTC) derivatives market has captured the attention of regulators after the Global Financial Crisis due to the risk it poses to financial stability. Under the post-crisis regulatory reform the concentration of business, and risks, among a few major players is changed by the concentration of a large portion of transactions in the new market infrastructures, the Central Counterparties (CCPs). This book, for the first time, analyses the regulatory response of the United Kingdom and the United States, the two largest centres of OTC derivatives transactions, and highlights their shortcomings. The book uses a normative risk-based approach to regulation as a methodological lens to analyse the UK regime of CCPs in the OTC derivatives market. It specifically focuses on prudential supervision and conduct of business rules governing OTC derivatives transactions and the move towards enhancing the use of central clearing. The resulting analysis, from a normative risk based approach, suggests that the UK regime for CCPs does not fulfil what would be expected if a coherent risk based approach was taken. Our comments on the Dodd-Frank Act highlight that the incoherent adoption of risk-based approach to regulation affects the effectiveness of the US regime for CCPs. Such a regime does not follow the pace of events of ‘innovation risk’; in particular, the foreseeable changes FinTech will bring to the OTCDM and central clearing services. The second inadequacy of the US regime concerns the dual regulatory structure of the CFTC and the SEC, and the inadequate adoption of different and not well-coordinated regulatory strategies. We also analyse the cross-border implications of the US regime for non-US CCPs that provide clearing services to US market participants. Finally, we study the negative effects of the absence of a clearly defined resolution regime for CCPs.
The Effective Regulation of the Over-the-counter Derivatives Market
Author: United States. Congress. House. Committee on Financial Services. Subcommittee on Capital Markets, Insurance, and Government Sponsored EnterprisesPublisher:
ISBN:
Category : Derivative securities
Languages : en
Pages : 216
Book Description
Regulation of the Over-the-counter Derivatives Market
Author: United States. Congress. House. Committee on Agriculture. Subcommittee on Risk Management and Specialty CropsPublisher:
ISBN:
Category : Business & Economics
Languages : en
Pages : 166
Book Description
Post-Trade Processing of OTC Derivatives
Author: Olga LewandowskaPublisher: BoD – Books on Demand
ISBN: 3838214447
Category : Business & Economics
Languages : en
Pages : 222
Book Description
The financial crisis of 2007–2009 exposed the weaknesses of the global over-the-counter (OTC) derivatives market such as limited transparency regarding risk exposures, poor counterparty risk management practices, and the risk of contagion arising from interconnectedness in this market. In the aftermath of the financial crisis, regulators introduced worldwide legislative and regulatory changes aimed at increasing the transparency and stability of the financial markets. In this book, Dr. Olga Lewandowska explores those novel regulatory solutions and their impact. The main focus is on central counterparty (CCP) clearing that became mandatory for OTC derivatives under the new regulatory paradigm. In four research papers, she analyzes CCP from different risk perspectives and based on four diverse research methods. Her book offers a comprehensive assessment of the risk-reduction potential of the CCPs, their implications for the financial markets, and the practical challenges in the implementation of the recent financial market reforms.
Collateral, Netting and Systemic Risk in the OTC Derivatives Market
Author: Mr.Manmohan SinghPublisher: International Monetary Fund
ISBN: 1451982763
Category : Business & Economics
Languages : en
Pages : 17
Book Description
To mitigate systemic risk, some regulators have advocated the greater use of centralized counterparties (CCPs) to clear Over-The-Counter (OTC) derivatives trades. Regulators should be cognizant that large banks active in the OTC derivatives market do not hold collateral against all the positions in their trading book and the paper proves an estimate of this under-collateralization. Whatever collateral is held by banks is allowed to be rehypothecated (or re-used) to others. Since CCPs would require all positions to have collateral against them, off-loading a significant portion of OTC derivatives transactions to central counterparties (CCPs) would require large increases in posted collateral, possibly requiring large banks to raise more capital. These costs suggest that most large banks will be reluctant to offload their positions to CCPs, and the paper proposes an appropriate capital levy on remaining positions to encourage the transition.