Risk magazine - Dec 2024
Cover detail:
Cheryl Ann Williams, Incarnadine
Acrylic on canvas, 90cm x 120cm
www.anne-mariebainbridge.co.uk
am.b@btopenworld.com
Articles in this issue
CME to launch single-stock futures
Exchange will focus on ‘Mag 7’ tech names after rivals fail with broader offerings
Barclays dethrones JP Morgan as largest OTC derivatives dealer
UK bank’s notionals surged 12.6% to $49 trillion in 2023, G-Sib indicators show
BofA’s rates revamp leans into multi-strategy boom
New rates head Laura Chepucavage prioritises collateral efficiency, e-trading and central risk book for enlarged rates, futures and financing unit
New CME guidance to drive tighter margin call management
Clearing house rule clarified to limit the use of grace periods to cases of admin/operational errors only
Traders dredge 0DTE data for intraday gamma insights
Firms such as UBS, BofA and OptionMetrics are investing in continuous net options position monitoring
Withholding tax trips up Eurex agency clearing model
Clearing members rely on CCP to resolve potential problem with German tax authorities
People: All shook up at the SEC, Krens succeeds Litvack at Isda, and more
Latest job changes across the industry
Revolutionising credit surveillance: part two
Does GenAI live up to the hype? How prioritising AI and digitisation projects reveals data as the power behind AI initiatives
Credit risk transfer, with a derivatives twist
Dealers angle to revive market that enables them to offload counterparty exposures, freeing up capital
Repo and FX markets buck year-end crunch fears
Price spike concerns ease as September’s surprise SOFR jump led to early preparations for bank window dressing
Critics warn against softening risk transfer rules for insurers
Proposal to cut capital for unfunded protection of loan books would create systemic risk, investors say
Ultra-low latency trading: how low can you go?
In the world of high-frequency trading, nanoseconds gained in trade execution can mean the difference between success and failure. AMD discusses the technological advances that are taking high-frequency trading to new lows – known as ultra-low latency…
Review of 2024: as markets took a breather, firms switched focus
In the absence of major crises and rules deadlines, financial firms revamped strategy, services and practices
Snap! Derivatives reports decouple after Emir Refit shake-up
Counterparties find new rules have led to worse data quality, threatening regulators’ oversight of systemic risk
Too ’Berg to fail? What October’s Instant Bloomberg outage means for the industry
The ubiquitous communications platform is vital for traders around the globe, especially in fixed income and exotic derivatives. When it fails, the disruption can be great
Pricing and reference data in the cloud: fuelling opportunity today
Financial services firms are increasingly moving pricing and reference data to the cloud to streamline operations, reduce risk and enhance data access. LSEG Data & Analytics explores how a cloud-based security master can transform data management,…
Quant Finance Master’s Guide 2025
Risk.net’s guide to the world’s leading quant master’s programmes, with the top 25 schools ranked
‘It’s not EU’: Do government bond spreads spell eurozone break-up?
Divergence between EGB yields is in the EU’s make-up; only a shared risk architecture can reunite them
The changing shape of risk
S&P Global Market Intelligence’s head of credit and risk solutions reveals how firms are adjusting their strategies and capabilities to embrace a more holistic view of risk
Goldman chalks up highest VAR breach since pandemic
Nine breaches in total across 34 banks in Q3
Norinchukin’s market RWAs blow up 342% in Q3
Fierce increase under FRTB regime lops 117bp off bank’s CET1 ratio
Independent audits drive compliance in FRTB data solutions
The EU and the Basel Committee have introduced strict audit standards for data vendors to uphold the FRTB rules. With deadlines approaching, audited solutions are critical for banks to ensure compliance, minimise NMRFs and reduce capital requirements
Nomura’s HQLAs hit record ¥7.1 trillion
Notes issuance, favourable yen boost easy-to-sell reserves
Substitutability cap keeps JP Morgan out of top G-Sib bucket
Uncapped systemic risk score grows to highest level on record
FX options: rising activity puts post-trade in focus
A surge in electronic FX options trading is among the factors fuelling demand for efficiencies across the entire trade lifecycle, says OSTTRA’s commercial lead, FX and securities
Quantum two-sample test for investment strategies
Quantum algorithms display high discriminatory power in the classification of probability distributions
Podcast: Alexei Kondratyev on quantum computing
Imperial College London professor updates expectations for future tech
From faxes to fintech: reflecting on more than 20 years of industry evolution
Over the past 20 years, financial markets have evolved from manual processes to streamlined, technology-driven workflows. This article reflects on this transformation and the collaborative innovations reshaping post-trade operations
