The G20 Summit has concluded and I did not learn anything from the corporate controlled media outlets (as expected the Syria war drums dominated all commentary). However as you do your own research you uncover important information such as the agendas and emerging regulations and policy supporting the financial institutions and their credit default swaps and derivatives.
Interesting to note the dates, locations, topics, and major institutions involved in these events. ~Ron
The agendas for this year’s International Swaps and Derivatives Association (ISDA) conferences look very interesting. Links can be found below:
- New York (on September 12th)
2013 ISDA Annual North America Conference
The Roosevelt Hotel, 45 E 45th St New York, NY 10017. Phone: +1 (212) 661-9600
- London (on September 19th)
2013 ISDA Annual Europe Conference
One Bishops Square Auditorium, London, E1 6AD. Phone +44 (0) 203 088 3550
- Sydney (on October 17th)
2013 ISDA Annual Australia Conference
Four Seasons Hotel Sydney, 199 George Street, Sydney, NSW 2000 Australia. Phone: +61 (2) 9250-3100
- Hong Kong (on October 22nd)
2013 ISDA Annual Asia Pacific Conference
The Ritz-Carton, Hong Kong, International Commerce Centre, 1 Austin Road West, Kowloon, Hong Kong, Phone: +852 2263 2263
- Tokyo (on October 24th)
2013 ISDA Annual Japan Conference
The Ritz-Carlton, Tokyo, Tokyo Midtown, 9-7-1, Akasaka, Minato-ku, Tokyo 107-6245 Japan. Phone: +81 3 3423-8000
Two topics of interest:
- Margin and Capital: Where Will New Requirements Take the Derivatives Business?
Some discussion will take place around the development of the Standard Initial Margin Model (SIMM) for calculating the IM for non-cleared trades. More detail around the SIMM can be found in this Risk Magazine article.
- The Future of Benchmarks:
This panel comprises members of the ISDA Benchmark Committee. It will outline its efforts to date, and review its plans for the future of some key benchmarks going forward.
LIBOR, which fell into disrepute following evidence of manipulation, is highlighted in the description of this panel discussion.
NOTE the participants and their Agendas in New York “(Sept. 12, 2013):
Robert G. Pickel, Chief Executive Officer, ISDA
Host – Stephen O’Connor, Chairman, ISDA
Richard Prager, ISDA Board Member, Managing Director and Head of Global Trading, BlackRock
Gerhard Seebacher, ISDA Board Member, Co-Head of Global Fixed Income,
Currencies and Commodities Trading, Bank of America Merrill Lynch
Thomas Benison, Managing Director – Credit Trading, J.P. Morgan Chase & Co.
Peter Barsoom, Chief Operating Officer, ICE Clear Credit
Biswarup Chatterjee, ISDA Board Member, Managing Director, Global Head Electronic Trading,
Credit Markets, Citi
James J. Hill, Managing Director, Morgan Stanley
Mark New, Assistant General Counsel, ISDA
ISDA Amend powered by Markit
S&P Dow Jones Indices
“The G20 meeting in early September is [was] expected to produce the final outlines of global regulators’ approach to initial margin for non-cleared trades. September is also the deadline for comments on a number of capital-related policy papers issued by several regulators. A panel of experts in these important areas will discuss details of the proposals and how market participants are likely to adjust to their effects. This will include the development of the Standard Initial Margin Model (SIMM).” –Margin and Capital: Where Will New Requirements Take the Derivatives Business?
“Issues have arisen, particularly in light of the ways in which government support is provided to financial entities or outstanding debt is addressed. New credit derivative definitions will soon be published and this panel will include several of the individuals who have been active in their preparation.” –Next Generation of Credit Derivatives
“Benchmarks of all sorts are woven into the fabric of OTC derivatives. Although rates such as LIBOR may have originated in the funding markets, the role of OTC derivatives in hedging that funding exposure has put derivatives at the center of discussions of benchmarks. The ISDA Board earlier this year established a benchmark committee to develop strategy and policy recommendations on interest rate benchmarks, including ISDAFIX, an ISDA-sponsored benchmark, and LIBOR. Members of the committee will provide an overview of the committee’s efforts to date and its plans for the future of benchmarks.” –The Future of Benchmarks
“Market participants and policymakers agree on the importance of central clearing of OTC derivatives and the need for regulatory transparency. With regards to clearing: What products are being cleared and how have clearing volumes grown? Some products look likely to remain uncleared in the near term, if ever. Who uses these products and why? With regards to transparency: What obstacles stand in the way of achieving the shared goal of transparency, and how can they be overcome? In other areas of regulation, major differences remain in terms of content and timetable. How do trade execution rules differ across jurisdictions? And while the recent agreement between US and international regulators has soothed some concerns about the cross-border applications of regulations, what issues remain to be addressed in this regard?” –G20 Commitments
Lauren Teigland-Hunt is managing director of Teigland-Hunt LLP, a law firm based in New York which focuses on U.S. commodities law and regulation. She advises financial institutions and buy side firms on regulatory issues related to derivative transactions and acts as counsel to several ISDA drafting committees
CFTC subpoenas swaps association over its benchmark
“The Commodity Futures Trading Commission (CFTC) has subpoenaed the International Swaps and Derivatives Association (ISDA) over its ISDAfix benchmark, widely used to anchor market rates, a spokeswoman for ISDA said.
Bloomberg reported on Monday that the CFTC was investigating derivatives broker ICAP Plc and as many as 15 banks in a probe into the possible manipulation of the benchmark.”