SEO News

Fair Spreads

  1. CVA hedge losses prompt focus on swaptions and guarantees

    Speaking at the Risk USA conference in New York on October 22, Deutsche Bank's group chief risk officer, Stuart Lewis, defended the strategy: "Our CVA hedges have generated a fair amount of accounting volatility and the volume of hedging we do is...

  2. Profile - Federal Reserve Bank of New York's Theo Lubke

    Lubke disagrees and thinks Trace has benefited market participants: “Trace didn’t solve all the problems but it certainly helped reduce bid-ask spreads. Increased disclosure of transaction data would also help market participants to better risk...

  3. Dealing with funding on uncollateralised swaps

    A centralised desk aggregation is crucial to ensure you can offer the tightest bid-offer spreads, and it also makes it fair for clients: whenever they are paying or receiving funding, they are getting the fair level for the funding aspect of the...

  4. Insurance debt: Don't take a tumble

    Though the market has already factored in the end of the world for financials, with insurance credit spreads pushing out to historically wide levels, analysts continue to be underweight the sector, and prospective buy opportunities are slim.

  5. Death by CDO

    The situation worsened in the fourth quarter, following the blow-out in credit default swap spreads in August and a steady stream of subprime-related market turmoil. Although the bank had intended to hold all its structured credit investments to...