Restricted

basel

Basel Committee Reform Capital Rules of Derivatives Trading

The first paper improves upon the interim credit assessment suggestions that the Basel Committee made with the Current Exposure Method (CEM) and the Standardised Method. The new credit risk assessment of counterparties in derivative trading fine-tune upon the CEM and the Standardised Method by creating separate risk exposure plans for margined and unmargined trades.

Read More

cftc image

CFTC Brings Charges Against Corzine For MF Global Collapse

Corzine originally joined MF Global with intent to turn the futures broker into an investment bank, and according to the CFTC release, “Corzine’s strategy called for making increasingly risky and larger investments of the firm’s money.” Apparently, Corzine had been made aware of the low cash balance of the firm, but still continued to order the payback of loans and obligations.