HIQLEQ

Posted: april, 2011 11: 57 PM | 4 Posted By: Paul Wilmott.
Related categories: General in 1983 Howard Gardner proposed a theory of ' intelligences ' and show the eight types: geometric logical language, mathematics, music, human body Intrapersonal Naturalistic points of interest about this non-concept. Which is itself a reasonably clearly? Point of interest is the list itself. Those eight specific areas of information system This theory is a simplified version of split into only two intelligence type classical IQ and emotional Intelligence or eq.

In many walks of life, especially related to high level technical skills, such as physics and math programming. some aspects of banking, risk management and derivatives is to find people with very high IQs but low EQs: High IQ. Low EQ information or hiqleq (pronounced hick-leck)

Investment Bank in modern very peculiar techniques. Advanced math and programming skills and at the same time, these bankers are having less interaction with customers. People from a variety of backgrounds with diverse personalities The Bank has become a safe haven. If perhaps there is no breeding ground. For hiqleqs

I enjoy conversations with people who can bring together many diverse subjects and crochet, conversation, fun, fun and illuminating vast and free flowing generally those people with high IQ and eq high, however, hiqleqs seems to feel uncomfortable. When a discussion starts getting lost in an unexpected way or if the parameter is not set to chat satisfaction of their.

In a discussion about research, similarly find that some people ' get it ' and can improvise with the creative ideas, while many others do the opposite course, and seem to stifle any originality, I did not mean they do intentionally or maliciously, but just because they want rules or structure when there is no need for any need or will more clearly. Discussions and surveys should provide oil and do not need to be restricted as a branch of mathematics, rigorous.

When talking about the risk or the idea of the mathematicians in the Investment Bank. I often feel that I'm trying to describe the beauty of the rose is red or the color of the Rainbow that the people who see in black and white only.

P

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Political panic and poker

Posted on: 10 June 2010 8: 41 PM | Posted By: Paul Wilmott.
Related categories: General conservatism has offered the LibDems French reform offices (albeit only on the most sensitive reform version) clearly the startling move, even though they did not wait to get a sense of people's reaction to Brown's earlier speech.

For a long time I've said that bankers should be forced to play poker in order to understand their relationship with the risk and return. Now think politicians should play so that they can appreciate the strength of their hands, and crucially, learn to walk out of the hands play on other Tories have things to learn.

In the classic modern portfolio theory We also learn to weigh the risk and reward expectations. Similar principles apply in political Nick Clegg has to decide between lower risk with a conservative majority as a result seats and high risk by labor for anyone to trust but higher returns expected? Conservatism has released more than they should have also, I only can guess that Clegg has photos of Cameron lost his position.

And nobody knows why this negotiation will happen in public, rather than behind closed doors?

If this is the quality of horse trading. We can expect from the current crop of politicians in England, then God help us when we are haggling with the wider world.

P

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Deloitte selects SunGard FastVal

Source: Deloitte, March 22, 2011
Deloitte LLP, a leading global provider of audit, tax, consulting and financial services, has selected Sungard's FastVal, an independent valuation service for vanilla and complex OVER-THE-COUNTER (OTC) derivatives. Deloitte uses FastVal to provide it with an independent valuation service when revaluing customer derivative portfolios.

Fastvals coverage of vanilla and OTC derivatives helps Deloitte value different instruments over clients ' portfolios. FastVal covers the latest innovations in the derivatives market and its flexibility helps Deloitte continue to serve their clients after the business is changing. With Deloitte FastVal has access to the modelling techniques and data used in each individual assessment, provide transparency in the valuation process.

Tom Millar, Director at Deloitte LLP, said, "the Sungard's FastVal will help us produce the independent valuation of derivatives portfolios more effectively. We chose Sungard's FastVal because it satisfies our demands on quality, usability, and breadth of instrument coverage. "

Gavin Lee, chief operating officer of Sungard's FastVal business unit, said, "the Sungard's FastVal will help Deloitte offers a comprehensive service to its clients with a standard valuation process of derivatives. It will also provide greater transparency in the valuation of customer portfolios Deloittes. "

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Buy-side firms and end users to stress issues relating to security and liquidity swaps market during the Dodd-Frank

Buy-side firms and end users to stress issues relating to security and liquidity swaps market during the Dodd-Frank

--President Stabenow delivers keynote speech at the forum sponsored by the DTCC, MFA and institutional investors

WASHINGTON--(BUSINESS WIRE)--effects of the Dodd-Frank on safety and liquidity of the swaps markets for end-users and buy-side firms continues to be a subject of hot debate that more than 100 representatives from the communities ' financial and legal areas of concern and possible solutions in a forum today sponsored by () succeeded medium-AssociationMFA), institutional investors and the Depository Trust & Clearing Corporation (DTCC).

-While the Dodd-Frank is intended to protect the economy and the OTC-derivatmarknader and make their hedging set markets more transparent and liquid, there is concern within the industry over the potential unintended consequences of the new rules, says Michael Bodson, DTCC's chief operating officer, opened the Conference. "This forum will identify key issues and describe possible elements of resolutions so that the rule makers and legislators have input and feedback that they need when they go ahead with implementing Dodd-Frank."

"We appreciated the opportunity for market participants and policy-makers to continue the dialogue on the central clearing and openness, which strongly supports both MFA because of their important role in reducing systematic, operational and counterparty risk for hedge funds and institutional investors," said Richard Baker, president and CEO for the managed funds Association.

"Our derivatives markets are playing important roles in helping organizations manage commercial risks, gain access to financing and effectively deploy capital. Discussions that today's help market participants and policy-makers both considers the potential for unintended consequences which we all aspire to have markets that are liquid and safe, providing a level playing field for all participants, and supported by prudent regulation, "said John Gidman of Loomis Sayles & Company and Chairman of the Association of institutional investors.

The Conference's keynote address was given by Senator Debbie Stabenow (D-MI), Chairman of the u.s. Senate Committee on agriculture, nutrition and forestry. The Committee is responsible to verify the implementation of the Dodd-Frank and, in particular, title VII, which renews the framework for the over-the-counter (OTC) derivatives market.

Congressman Jim Himes (D-CT), a member of the House Committee on financial services, including comments delivered during Forum and participated in a Q&A session with the audience.

In addition, the event featured two panel discussions that included representatives from the laws, regulations and administrative staffs in charge of the Dodd-Frank, as well as leading representatives from asset managers, hedge funds, Government sponsored entities and corporate end users from trading, hedging, risk management, legal and compliance and operational areas. The panels focused on how
Before and after trade rules as a result of new trading and clearing rules affect liquidity and risk of inadvertent disclosure. Companies manage changes in security and the default for both centrally cleared and bilateral derivatives.

Openness to mitigate systemic risk

During his initial comments reinforced Bodson that the key to mitigating systemic risk in the swaps market lies in giving regulators open access to extensive market information. He noted the importance of having all underlying position data into a single, central swaps data repository (SDR) to ensure that all corporate positions can be seen from a central point of vantage.

Bodson drew attention to the role of DTCC's Trade Information Warehouse (TUI) played in increasing transparency in the default credit swaps (CDS) market during the economic crisis. The location of centralized database and its users cover all the major OTC derivatives dealers and more than 1,800 companies that buy-side and other market participants in more than 50 countries. It has around 2,3 million contract with a gross notional value of $ 29 trillion.

Bodson also stressed that the objective of transparency across the entire OTC derivatmarknaden will require significant cooperation between stakeholders and regulators. He added that a critical variable in TUI's success was that DTCC is not a traditional commercial entity, but rather an industry-regulated utilities, with buy-side firms, companies that sell-side and self-regulatory bodies which the interested parties.

-It was important for all parties to commercial interests have been removed from which all sides agree is — and should continue to be – mainly a regulatory and supervisory authorities support function, "said Bodson.

About DTCC

DTCC, through its subsidiary, clearance, settlement and information services for equities, corporate and municipal bonds, Government and mortgage-backed securities, money market instruments and over-the-counter derivatives. DTCC is also a leading processor of mutual funds and insurance transactions, funds and carriers with their distribution networks. DTCCS depository provides custody and Asset Servicing for more than 3.6 million securities from the United States and 121 other countries and territories, valued at US $ 36.5 billion. 2010 Fast DTCC almost US $ 1,66 quadrillion in securities transactions. DTCC has operating facilities and data centers in multiple locations in the United States and abroad. For more information, visit www.dtcc.com.

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LCH.Into Clearnet's SwapClear FCM Service launches

LCH.Into Clearnet Ltd (LCH.Into Clearnet) SwapClear Futures Commission Merchant (FCM) service was launched yesterday.  U.S. interest rate swap (IRS) clients are now accessing this market leads through one of the 12 FCMs already connected to the service. Six clients have cleared executed OTC IRS trading on SwapClear into a variety of maturities and currencies including USD, EUR and GBP.

The 12 FCMs connected to the service are: Bank of America Merrill Lynch. Barclays Capital. BNP Paribas Securities Corp. Citigroup. Credit Suisse Securities LLC, United States. Deutsche Bank Securities, Inc.; Goldman Sachs And Co.; J.P. Morgan Futures Inc.; Morgan Stanley. Nomura Securities Int'l Inc.; RBS Securities Inc. and UBS Securities, LLC. HSBC Securities United States has also confirmed its intention to accede to the card as an FCM.

Floyd Converse, Director of the United States's sales and marketing, said. "U.S. clients are increasingly focused on how the regulations deriving from the implementation of the Dodd-Frank Bill will affect them.  SwapClear FCM offers the widest range of OTC interest rate swap product scope of any clearing service in the world.  Features such as flexible payment date, flexible LIBOR index, discounting and 14 currencies OIS HELP PANE TOC are not matched by another clearer.  These are available in protection of an FCM framework. regulated by the CFTC and subject to u.s. law.  We will continue to develop and enhance products and services to U.S. clients that the client Purge developed. "

Richard Prager, CEO, BlackRock said. "The time for Swapclear's FCM launch gives us the opportunity to cooperate with them fully prepare the Dodd-Frank.  From a client perspective, SwapClear opportunity to strategically develop its buy-side offering to meet the needs of the buying side, facing the regulatory change, so it is in a position to facilitate the clearing of all market participants in lockstep together. "

U.S. clients will benefit from reduced counterparty risk, standard protection, proved to be the standard project management expertise, portability of client securities and cash positions and Initial margin securities are held exclusively in the United States and in accordance with u.s. law and the commodity Exchange Act (CEA).  Swapclear's U.S. clients can now access to the service broad product range, which covers over 90% of "default Web pages" IRS market, and will be expanded later in the year to cover the USD residents amortizing swaps. SwapClear clears the currently contained in 14 currencies and tenors out to 50 years.

Established more than 11 years ago, is the only truly global SwapClear clearing service of the IRS.  Since the launch in 1999, has cleared over 1.5 million OTC IRS trade, of which about 35% are u.s. dollar denominated.  SwapClear has currently 49 clearing members, including 12 FCMs and his portfolio includes 850 000 business with nominal value exceeding $ 266 billion, down from $ 305 billion as a result of terminating $ 39 trillion cleared IRS operations through ongoing compression.  It is the only OTC Clearing service that has successfully managed a significant OTC standard when it resolved the Lehman Brothers ' $ 9 trillion IRS standard 2008. In this case, Swapclears standard processes to more than 66,000 strokes in five currencies was hedged and auctioned to other clearing members. Swapclears process led to a loss for all market participants.

In June 2010, after extensive industry consultation, LCH.Into Clearnet became the first derivatives clearing house in the world using the overnight index swap (OIS HELP PANE TOC) IRS discount rate curves.  This important step not only seen the highest standards of risk management within the CCP. It has also increased security and transparency in swappmarknad interest more generally.  This type of industry thought leadership recognized by Risk Magazine in naming LCH.Into Clearnet 2011 a Clearing House of the year in its Risk Awards.

LCH.Into Clearnet have been a CFTC-registered derivatives Clearing organization Clearing OTC IRS since 2001 and 2010, cleared over 120,000 business with U.S. counterparts, whose nominal value by more than $ 64 trillion.

-end-

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JP Morgan Trader-CD with 6 companies in the spirit of the new rules for Swap

JP Morgan Trader-CD with 6 companies in the spirit of the new rules for replacement of Sean Sprackling on Thu 10 Mar 2010 08: 01 GMT |  Permanent link |  Cosmos, according to Dow Jones newswire JP Morgan has followed Morgan Stanley in announces that it is intra-Dodd Frank swap rules-complete text here

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Lombard Risk announces real-time platform for managing security for centrally cleared transactions

Source: Lombard Risk: 17 Mar 2010 10: 28 ET

LONDON--(Marketwire-March 17, 2010)-Lombard Risk Management plc (LSE: LRM) ("Lombard Risk"), a leading provider of integrated collateral management, liquidity management and regulatory alternative solutions for the financial services industry, announced today the release of Colline ® CCP (Central counterparty)--proactive management of collateral for centrally cleared transactions.

The latest version of Colline CCP has evolved to meet the demand for a real-time unified view centrally cleared and bilateral crafts of all kinds of products. Colline CCP real-time platform aggregates and compares the Mark on the market, trade appraisals of central counterparty, main and independent valuation of product types, meet the market needs to understand and optimize capital opportunity at the time of trade.

Helen Bramley, Product Manager, Lombard Risk, explains:

"We developed the Colline CCP close cooperation with the clearing house and customers to deliver a consolidated view of the risks and costs associated with the OTC derivatives and listed transactions. Given the increasing complexity of handling and reporting cleared and uncleared trade populations, understand the credit from a cost perspective becomes a necessity, and once employed a competitive advantage for our customers. Transparency of information is key. "

Colline CCP providing clearing brokers direct Clearing units and financial institutions with calculation, validation, reconciliation, workflow and reporting capacity they need to proactively manage counterparty credit risk and facilitate management and flexible reporting of summary accounts and segregated Commerce populations that develop regulatory regimes worldwide.

John Wisbey, CEO, Lombard Risk, said:

"With the move of over-the-counter derivatives to futures industry infrastructure, marginal costs are expected to increase significantly. Given these increased costs, it is more important than ever to proactively manage assets and move. Colline CCP provides our customers a sophisticated approach to their counterparty risk and the tools to manage this risk in every way required by internal, cleanup and regulatory concerns. "

Colline CCP data management and exception processing tools to be responsive and flexible for those who have to grapple with complex OTC trading properties within existing futures industry frameworks.

Collines powerful margin management and reporting tools can clean up the units of all stripes to implement OTC trading with confidence and built new clients with ease.
Colline CCP: Easy application, heavy features:

Proactive real-time, unified view of the consumer protection Commission and bilateral trade comparison of valuation MTM of CCP, the sponsor and the independent valuation powerful features MTM tolerances-proactively define and validate the CCP vs. principal trade route dedicated CCP Dashboard enhanced, fully automated event-driven workflow by CCP, segregated and pooled accounts, calculate and validate the relationship of exposure and manage up, down and across organizations specific Broker functions-Initial and Variation margin and settlement management and reporting trade search of CCP, the MTM difference and measurement Type Robust, flexible CSA and clear agreement, installation and maintenance of Colline CCP Lombard Risk, collateral management experts

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