Derivatives

AIA has appointed BNP Paribas to take responsibility for its OTC derivatives operations in Hong Kong and Singapore.

Barclays announced a 76% decline in derivatives income to a loss of £296 million, as the bank suffered an overall 8% pre-tax profit loss in 2015.

The cost of collateral settlement fails under new margin requirements could reach $27 billion for the sell-side alone, according to new research.

Credit Suisse has added assets from its equity derivatives and prime services business into its “Strategic Resolution Unit” (SRU), a unit focused on the offloading of unwanted assets, as the new CEO continues to shrink the investment bank.

Central counterparty (CCP) costs are driving the buy-side decisions on where to clear their derivatives trades, according to a new report from TABB Group.

Eurex Clearing is the sixth non-US CCP to win CFTC approval for derivatives clearing.

The majority of buy-side firms, including pension funds, are expected to begin clearing of derivatives from the second half of 2017.

The introduction of new margin requirements for OTC derivatives will impact the buy-side more than anyone else, according to a panel.

Clearstream chairman and member of the executive board of Deutsche Boerse Jeffrey Tessler will head up the combined derivatives units of the German group in a new setup for 2016.

Direct buy-side membership of a clearing house is not risk-free itself; new models of direct membership are being explored to shake off fears about clearing brokers.