This paper explores strategic trade in short-lived derivative securities by agents that possess long-term information about an underlying asset. In contrast to trading equity, where an informed agent will ultimately benefit from his trades, trading short-lived securities is profitable only if the price impounds the private information before expiry. A...
BOSTON--BUSINESS WIRE--December 1, 1994--Fidelity Capital Markets, the trading and execution arm of Fidelity Brokerage Group, today announced the opening of a new trading facility in Boston's World Trade Center.
A real bell rang to open the first simulated derivatives trading floor at an academic institution in April at Kent State University, where a 25 workstation facility built by Tekom Inc. simulates trading with live data from six global exchanges and th A real bell rang...
Asserts Claims against Former President and CEO Manning BETHEL, Conn. -- Escala Group (ESCL.PK), a global collectibles company in stamps, coins, precious metals trading, and art and antiques, today announced that it has entered into agreements to settle the securities class action lawsuit and shareholder derivative action commenced against...
DALLAS -- As disclosed in its Form 10-K filed today, Zale Corporation (NYSE: ZLC) is subject to derivative accounting for its derivative instruments under SFAS 133 "Accounting for Derivative Instruments and Hedging Activities." SFAS 133 requires the Company to mark-to-market forward gold and silver contracts used in its hedging strategy...
Futures trading, a derivative instrument, began in U.S. and was used to trade cotton, corn, and wheat at the Chicago Board of Trade. This presentation traces the origin of derivatives and introduces financial derivatives. It describes the different types of derivative instruments and explains the difference between each of them....
Financial engineering is a term that refers to the development of pricing methodologies and hedging techniques underlying financial derivative products. One aspect of financial engineering that leverages the power of derivative products in a simple, elegant fashion is the combination of existing derivative products. Let's consider a few of these...
In an effort to improve disclosures associated with derivative contracts, the Governmental Accounting Standards Board GASB has issued critical accounting guidance that will provide more comprehensive reporting by state and local governments. Under the new guidance, users of financial statements will be better informed about the risks assumed in derivative...
NEW YORK -- ASPEED Software has announced that its parallel distributed computing solution, ACCELLERANT, has successfully enabled fixed income and credit derivative trading applications to perform on the IBMR Blue GeneR System. With ASPEED's support for Blue Gene, financial applications can now rapidly and seamlessly exploit the scalability and economics...
The Basle, Switzerland-based Bank for International Settlements called for more stringent monitoring of the derivatives market and for greater caution on the part of firms trading in these markets. Interbank operations using derivative activities have expThe Basle, Switzerland-based Bank for International Settlements called for more stringent monitoring of the derivatives...
NEW YORK -- On June 17, 2004, BNP Paribas, acting as Sole Lead Arranger, successfully closed a $1 billion multicurrency secured revolving credit facility (the "Facility") for four borrowers forming part of Sempra Energy Trading, the commodity-trading unit of Sempra Energy. The Facility has a tenor of two years with...
"These guys have done some pretty wild stuff. And you know, they probably do not understand it quite as well as they should. I think that they have a pretty good understanding of it, but not perfect. And that's like perfect for us."(1)I. IntroductionA derivative financial instrument derivative is a...
This paper considers an investor who maximizes expected exponential utility of terminal wealth, combining a static position in derivative securities with a traditional dynamic trading strategy in stocks. Our main result, obtained by studying the strict concavity of the utility-indifference price as a function of the static positions, is that,...
INTRODUCTION Statement of Financial Accounting Standards SFAS No. 133, Accounting for Derivative Instruments and Hedging Activities, as amended by SFAS No. 138, Accounting for Certain Derivative Instruments and Certain Hedging Activities--An Amendment of FASH Statement No. 133, prescribes comprehensive new rules for accounting for derivative instruments (FASB 1998,2000)....
NEW YORK -- Fitch Ratings has affirmed Merrill Lynch Derivative Product AG's MLDP Issuer Default Rating IDR and counterparty rating at 'AAA'. The Rating Outlook is Stable. MLDP is a derivative product company DPC with a 'continuation' structure that serves as an intermediary for OTC derivative transactions between highly rated...
Risk control and derivative pricing have become of major concern to financial institutions. The need for adequate statistical tools to measure and anticipate the amplitude of the potential moves of financial markets is clearly expressed, in particular for derivative markets. This report summarizes recent theoretical developments, some of which were...
The Financial Accounting Standards Board has issued Statement No. 149, Amendment of Statement 133 on Derivative Instruments and Hedging Activities, which amends and clarifies accounting for derivative instruments, including certain derivative instruments The Financial Accounting Standards Board has issued Statement No. 149, Amendment of Statement 133 on Derivative Instruments and...
In the run-up to monetary union and the euro, the Swiss and German derivative exchanges are forging an alliance to create one of Europe's biggest futures and options markets. In the first such cross-border link, brokers will be able to trade freely in In the run-up to...
Chase plans trading facility. After earning $273 million in trading revenues during the second and third quarters of 1993, Chase Manhattan Bank announced plans to build a two-story trading floor at its New York headquarters as part of an $85 million Chase plans trading facility....
PLANO, Texas -- MicrotuneR, Inc. (Nasdaq:TUNE) announced today that it has reached an agreement to settle the consolidated shareholder derivative litigation, pending in the U.S. District Court for the Eastern District of Texas, against a number of Microtune's current and former officers and directors and Microtune as a nominal defendant....
