Collateral
Lessons from two commodity defaults
Regulators and exchanges need to learn from the Greenhat/PJM and Norwegian Nasdaq defaults
Banks and investors see appeal of commodity finance
Despite the retreat of major global banks from commodities, commodity finance is nonetheless viewed as an attractive opportunity. But it is an area where banks face increased competition from trading houses. By Mark Nicholls
US energy firms cheer regulators’ shift on margin rule
In an about-face, the Fed and other bank regulators exempt non-financial end-users from requirement to post margin on non-centrally cleared swaps
Collateral and commodity market dynamics in the new normal
Collateral quality and depth are playing an increasingly important role in a market characterised by systemic risks and high correlations among asset classes, including commodities. That is a trend that should concern energy risk managers, argues Stephen…
Uncleared margin rules threaten E&P hedging
Exploration and production companies can find it difficult to satisfy collateral demands when looking to hedge their output using derivatives. Now, Dodd-Frank threatens to make this even harder with margin requirements for uncleared trades. Alexander…
Is asset-backed credit support an option for energy firms?
Asset-backed credit support could be a viable option for energy producers wishing to better utilise the value of their assets to manage collateral obligations under hedge transactions, write Chad Mills, Chris Hayes and Jon Hoff
Energy players assess MF Global fallout
MF Global’s bankruptcy is unlikely to significantly impact commodity markets, participants say, but could affect the Dodd-Frank rule-making process
Q&A – CFTC's Scott O'Malia
CFTC Commissioner Scott O’Malia shares his views with Ned Molloy on, amongst other things, systemic risk, position limits, the use of non-cash collateral and the jurisdictions of the CFTC and FERC
Collateral management: Firms face up to regulatory challenge
Collateral management has become an increasingly complex and vital component of credit risk management for the energy sector. With the EU considering reforming commodity derivative regulation, Alex Davis looks at the latest developments and examines…
Planning for bankruptcy of a major counterparty
Paul Turner and Mark Sherrill discuss how to minimise exposure to the bankruptcy of a major energy counterparty
Derivatives reform to hit energy giants
Several major energy and commodities companies such as Royal Dutch Shell and BP are to face a substantial rise in derivatives trading costs, following the adoption of the Dodd-Frank Wall Street Reform Act.
Ferc proposes credit reforms
The Federal Energy Regulatory Commission (Ferc) has outlined credit reform proposals aimed at balancing the need for market liquidity with appropriate risk management while ensuring reasonable rates.