Regulators release final OTC derivatives margin rules & exempt FX swap/forwards
by Kylene Casanova
Framework agreed for reducing systemic risks related to OTC derivatives starts in 2014
FX Hedging & Risk Management
Background
There are three kinds of FX exposure: transaction, economic and translation that need to be managed: Transaction exposure arises when a company has a future receivables or payables that is denominated…
Read moreForeign exchange derivatives coming to swap execution facility platforms
by Kylene Casanova
The new rules in the US Dodd-Frank Act require privately-negotiated derivatives trades to be transacted on electronic platforms and sent to clearing houses. Up to now, trading platforms for over-the-counter derivati
Play defensive when using banks and their derivatives
by Kylene Casanova
Paul Stafford, the director of marketing for Atlas Risk Advisory, in an article in TREASURY & RISK, explained that, "Multinational corporations usually obtain FX derivatives from banks
New OTC derivatives central counter-party (CCP) being set up in Chile
by Kylene Casanova
In response to G-20 mandated OTC derivatives reforms and standardization, a group of Chilean banks led by COMDER is building a new OTC derivatives CCP. This new CCP
Visual Risk partners with Markit to deliver a complete solution for IFRS13
by Kylene Casanova
For organisations performing half-year reporting starting from 30th June, the new IFRS13 Standard will require fair value measurement of assets and liabilities to include Credit and Debit Value Adjustments (CVA / DV
Mitigating counterparty risk in derivatives trades
by Kylene Casanova
Recently, a large U.S. company executed a sizable portfolio of cross-currency derivatives to hedge its international exposure. As it evaluated prospective swaps trading partners, the company—let's call it XYZ Corp.—
FiREapps 2013Q1 Corporate Earnings Currency Impact Report
by Kylene Casanova
The global currency war continues to rage. Competitive devaluation on nearly every continent continued to significantly impact U.S.-based multinational corporations in the first quarter of 2013 – to the tune of at l
The future of FX execution and hedging in regulated markets
by Kylene Casanova
Deutsche Bank's Greg Edwards, Head of FX eCommerce Sales Europe, and Alex Price, Head UK Corporate FX, gave a fascinating presentation, at the Association of Corporate Treasurers Annual Conference in May,
EMIR timeline updated
by Kylene Casanova
Gaia Transparence, a software vendor specialized in financial markets using an open source platform, have update their EMIR timeline chart. They note that the notification of clearing obligations
60% of derivatives users unprepared for Dodd Frank and EMIR and many will hedge less as a result of
by Kylene Casanova
In Chatham House's survey of more than 150 companies, 60 percent of respondents who face regulatory requirements from Dodd-Frank indicated that they are not yet prepared for compliance, with
Citi launches Pulse 2.0, their next generation in eCorporate FX hedging
by Kylene Casanova
CitiFX Pulse, Citi's award-winning corporate foreign exchange electronic execution platform has been re-launched as Pulse 2.0 which, incorporates comprehensive improvements and upgrades across the entire platform.
EMIR compliance management: use an application to simplify the whole process
by Kylene Casanova
On 15th March, the technical standards supplementing the European Markets Infrastructure Regulation (EMIR) entered into force and affect most corporate treasury departments. According to the
ISDA paper: Non-cleared OTC Derivatives - their Importance to the global economy
by Kylene Casanova
The traditional world of derivatives, consisting of both listed and over-the-counter (OTC) instruments, is undergoing significant change. Clearing of OTC derivatives through central counterparties has grown rapidly
EU derivatives rules will come into effect in mid-March
by Kylene Casanova
The European Parliament, meeting in Strasbourg, France, has decided not to pursue a resolution which, if passed, would have forced yet more delays in the EU's long-awaited post-crash centralised derivatives clearing
FX volatility & setting budgets
by Kylene Casanova
FX volatility is often omitted from financial planning, usually because the owner of the budget 'drafts' the FX assumptions with little research or uses the banks' consensus view of the FX market.
Applying a Portfolio Management Framework to the currency hedge decision
by Kylene Casanova
John Bird, Atlas Risk Advisory LLC, in his white paper, describes how many companies hedge each exposure to a preset hedge coverage ratio according to policy. Nevertheless, in practice they will
IASB’s change to flawed IFRS 9 Language is corporate win, but complicates accounting for FX Hedges a
by Kylene Casanova
The IASB's alternative solution applies a fix to the way the IFRS 9 amendments, issued last September, treated the element of currency basis in forward FX pricing, which would have left companies exposed to signific
Swap management and systemic risk control is getting easier as CICI Global Legal Entity Identifier i
by Kylene Casanova
The Depository Trust Clearing Corporation (DTCC) and SWIFT announced today that their global legal entity identifier (LEI) solution had progressed at a robust pace since its August, 2012 launch with more than 47,000
Bloomberg’s take on the new Foreign Exchange (FX) Hedging mindset
by Kylene Casanova
This article on gtnews by Bloomberg's Alison Fletcher describes a new attitude they see developing among treasurers world-wide. She believes that the traditional approach where corporate treasurers focused on lookin
Latest Release of FINCAD Analytics Suite Boasts Important Bond, FX Option and Swap Enhancements
by Kylene Casanova
FINCAD, a provider of OTC derivatives solutions, have announced the latest release of its cross-asset derivatives analytics library, FINCAD Analytics Suite 2013. This new version includes market consistent FX option
Key takeaways on capturing and managing FX exposure
by Kylene Casanova
In their presentation on FX exposure management, Rob Waddell and Mark Stegman from Brown-Forman, the 'producer and marketer of fine quality beverage alcohol brands', they listed the key takeaways from their experi
Effective strategies for managing currency exposure
by Kylene Casanova
The fascinating presentation by Bob Elliot, Assistant Treasurer Global Cash Management, Eaton Corporation and Cindy Krause, Treasury Advisor, KeyBank entitled 'From Data Point to Decision: Effective Strategies for M
FiREapps and Hedge Trackers partner to offer best-in-class end-to-end foreign exchange exposure mana
by Kylene Casanova
After a successful test programme over the last few months with a select group of shared clients, FiREapps is announcing a brand new strategic partnership with HedgeTrackers, LLC. This new partnership will leverage
Chatham Financial unveils financial risk management technology: cloud-based application, ChathamDire
by Kylene Casanova
Chatham Financial, an independent financial risk management advisory and technology solutions firm, today unveiled ChathamDirect for FX risk management. This cloud-based portfolio of applications gives corporations