3:06 pm - Wednesday September 26, 1432

Tag Archives: Market risk

RoboTreasurer

Treasurer and his robotic counterpart – Some thoughts

Treasury is considered to be the modern strategic value add partner in any business initiative. The role of the treasurer continues to expand into different areas of the organisation, such as risk management and working capital. At the same...
DDT

Disputed derivative transactions – Santander and Pourtuguese Rail Operator

I happened to read today a news item on disputed derivatives transactions. It is reported therein, the dealers settled a crop of disputed derivatives trades with Portuguese state owned entities last year with one exception – Santander...
derivative-categories

Interest Rate Derivatives and their wrong sales to gullible customers

Banks are more in the news these days – for a variety of reasons with negative impact of course.  Of all these, the one connected with mis-selling of interest rate derivative products is causing considerable damage. The kind of allegations...
Principles of risk management

Principles of risk management

Introduction Any activity is associated with risk – a loss or gain. More so, in trade and commerce, due to complex nature of transactions and the individual characteristics of the players, commodity, practices, customs, currencies. Like in...
Counterparty Risk

Counterparty risk management needs a closer relook

Counterparty risk is the risk that a counterparty in a transaction will default prior to the expiration of the contract and will be unable to make agreed contractual payments Experience has shown, normally banking and financial crises have their...
Image

Foreign Exchange Dealing Operations

If you buy a Binny Silk Saree for your wife (or girl friend!) at T.Nagar Chennai Nalli Silks, you will naturally want to pay for it with Indian Rupees and the Nalli Silks will want to be paid in Rupees because he pays all his bills with Rupees. Likewise,...
Volcker rule

DFA and Volcker rule (Proprietary Trading)

Federal Regulators in the United States are moving ahead with a rule that would ban banks from trading for their own profit. This rule – popularly known as Volcker Rule – is covered under Section 619 of Dodd Frank Act and contains two broad...
untitled

OTC Derivatives Products – An overview

The expression ‘over the counter – OTC’ can be used to mean financial instruments that are traded between counterparties (dealers) either directly or through broker network. This operation is different from operations in centralized exchanges...
houseofcards

Bilateral and Triparty Collateral Management

The recent financial markets crises have heightened and increased focus on collateralization. Collateralization is a process where a borrower pledges an asset as recourse or cover or a security to the lender for facilities or limits or credits...
corporate-actions

Best Practices Framework for Derivatives Business

 “The world of banking has changed radically as a consequence of the recent crises and it is still changing. The rise of the universal banking model seems almost unstoppable, basically driven by the desire for an accelerated consolidation....