Ban Total Return Swaps
Started by Riversider
over 14 years ago
Posts: 13573
Member since: Apr 2009
Discussion about
Ft basically saying that the use of total return swaps is being use by funds to skirt regulations and get away with 35 to 1 leverage. If they're not banned then assurances that adequate margin is posted an not being marketed at retail clients, etc http://www.ft.com/intl/cms/s/0/e0d0e01e-0b84-11e1-9a61-00144feabdc0.html#axzz1daDmDpLF
Isn't there a WallStreeteasy web site?
Boy, you are ill-informed. Dodd Frank, Basel 3 and MiFD 2 etc will require such to post margin going forward. So no need to "ban" them. 35-1 leverage will not be permitted, at least not if funds want to make a profit. Pay attention.
What's a regulator?
Someone too stupid to get a job in what he supposedly "regulates."
As long as DC/SEC propose ordinances in a a theoretical vacuum, void of practical loopholes, they will remain secondary to West St.
In fact, OTC swaps that are not centrally cleared will have to post even HIGHER margin and will count LESS a bank capital going forward.
that's call capital requirement, not MARGIN, pay attention
It's both dummy. Dodd Frank covers margin, Basel 3 capital. Read a little.
"What's a regulator?"
REGULATAAAAAHHHS!!!
http://www.youtube.com/watch?v=vF74D3kbbTI
no geeks off the street