Month: December 2013

BNY Mellon Closes Clearing Service

BNY Mellon has abandoned its ambitious OTC derivatives clearing service just three years after launch, citing regulatory and market limitations as behind the closure. Profit & Loss understands that the regulatory mandate for derivatives clearing in the US has not progressed as fast as the bank anticipated, coupled with growing challenge of increased capital requirements. […]

Volumes Recover in November

FX volumes increased month-on-month in November according to those multi-dealer platforms to report results, however the industry is still unable to escape a four-month general slump in activity. CME Group reports average daily FX volume just above $88 billion per day, a 10% increase from October largely driven by FX options activity, which rose just […]

Size Matters for Hedge Funds – Survey

Hedge funds require a minimum of $300 million assets under management to break even according to a new survey conducted by Citi Prime Finance. In its second annual 2013 Business Expense Benchmark Survey, Citi says hedge funds are “caught between rising costs and falling management fees, holding little profit for managers who don’t perform”. According […]

FIA Warns Against Uniform Approach to System Safeguards

The Futures Industry Association (FIA) has sent a letter to the Commodities and Futures Trading Commission (CFTC) expressing concern over the prescriptive nature of the risk control measures being introduced to the market by the Commission. The letter is a response to the CFTC’s Concept Release on Risk Control and System Safeguards for Automated Trading […]

Green Key Wins Patent on Decline Ratio Matching

Green Key Technologies, a financial markets technology solutions provider, has announced that the United States Patent Office has awarded the company a patent for the design of its OTC liquidity allocation process called Decline Ratio Matching. Within Green Key’s Block Pool, a quote management platform used by OTC derivative participants, brokers are able to rank […]

FX Concepts Founder Eyes Next Venture

John Taylor, founder of now bankrupt firm FX Concepts, is understood by Profit & Loss to still be actively involved in the hedge fund community and may even be considering a return to the industry. Sources close to the matter say that he is keen to ‘start again, but on a smaller scale’ and rather […]

And Another Thing…

I thought I would follow up briefly on Monday’s column, mainly because I think there are some misleading headlines out there over the market’s micro-structure following the release of the final BIS Triennial Survey. I have read several items suggesting the FX market is no longer a bank-dominated market – utter nonsense. I suspect that […]

Craignou Leaves HSBC for Fund Manager Role

HSBC’s MD and global head of FX and metals derivatives, Vincent Craignou, has left the bank to pursue a career in fund management Profit & Loss understands. The London-based FX veteran joined HSBC in 2003, having previously spent six years with ING Bank as its global head of FX options. Craignou had also worked as […]

Special Focus: Global Currencies Forecast 2014

More than five years after the onset of the Great Recession, consistent global growth remains elusive, prompting central banks to stick with historically low interest rates while injecting unprecedented amounts of cash into the financial system, writes Dean Popplewell, director, currency analysis and research with Oanda. Many expect fiscal policy to be less of an […]

Caplin Unveils Managed FX e-Distribution Service

Caplin Systems has launched a new service offering hosted FX single-dealer platforms as a service, in the latest indication of a growing marker shift toward more banks opting for SDPs over multi-dealer platforms. The new e-distribution service, called Caplin Direct, is designed for the growing number of banks now ready to launch their own SDP […]