Showing results 1 to 2 of approximately 2.(refine search)
Over-the-counter swaps – before and after reform
Now that the main elements of the new regulations can be described, let?s see how a simplified trade would be typically carried out by a fictional set of institutions both before and after the reform.3 First Bank is a large dealer bank that buys and sells securities and derivatives. High Yield (HY) is a mutual fund that has a large portfolio of junk bonds. HY wants to hedge against the risk of a downturn in the junk bond market.
Banking policy review: over-the-counter swaps — before and after reform
Regulations governing over-the-counter derivatives trading have moved much of the action to transparent, centralized exchanges. Michael Slonkosky describes a typical trade before and after the new rules.