Article: Global Derivatives Cling to Libor Even as Its Retirement Nears

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Global Derivatives Cling to Libor Even as Its Retirement Nears

William Shaw and Alex Harris, 14 April 2021

Anyone hoping Libor’s death notice would accelerate the shift of hundreds of trillions of dollars worth of derivatives toward replacement benchmarks will be sorely disappointed.

In the U.S, just 4.7% of contracts traded in March were pegged to the Secured Overnight Financing Rate, or SOFR, the benchmark slated to replace the London interbank offered rate, according to data from the International Swaps and Derivatives Association released Wednesday. That’s down from 5% in February. Continue reading “Article: Global Derivatives Cling to Libor Even as Its Retirement Nears”

Article: Japan ensures G20 pledge vs ‘disorderly’ moves as FX language tweaked, sources say

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Japan ensures G20 pledge vs ‘disorderly’ moves as FX language tweaked, sources say

Tetsushi Kajimoto, 09 April 2021

TOKYO (Reuters) – Japan made sure that language warning against excess currency market volatility remained in place when G20 finance leaders made a rare tweak to their message on exchange-rate moves, said officials with knowledge of the deliberations.

In the first communique compiled since U.S. President Joe Biden took office, finance leaders of the Group of 20 major economies called for the need for currency moves to reflect “underlying” economic fundamentals. Continue reading “Article: Japan ensures G20 pledge vs ‘disorderly’ moves as FX language tweaked, sources say”

Article: One of World’s Greatest Hidden Fortunes Is Wiped Out in Days

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One of World’s Greatest Hidden Fortunes Is Wiped Out in Days

Katherine Burton and Tom Maloney,  30 March 2021

From his perch high above Midtown Manhattan, just across from Carnegie Hall, Bill Hwang was quietly building one of the world’s greatest fortunes.

Even on Wall Street, few ever noticed him — until suddenly, everyone did.

Hwang and his private investment firm, Archegos Capital Management, are now at the center of one of the biggest margin calls of all time — a multibillion-dollar fiasco involving secretive market bets that were dangerously leveraged and unwound in a blink. Continue reading “Article: One of World’s Greatest Hidden Fortunes Is Wiped Out in Days”

Article: FCA comes down on Wirex after allegations of turning a blind eye to money laundering

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FCA comes down on Wirex after allegations of turning a blind eye to money laundering

Aisling Finn,  30 March 2021

The Financial Conduct Authority (FCA) has decided to crack down on crypto and fiat currency payments provider Wirex after money laundering allegations surfaced, according to an investigation by Fintech Futures.

In response to the article, Wirex’s legal team said: “The article in question contains a number of false, defamatory and misleading statements, including the allegations that money is being laundered through the company, and Wirex is currently considering its legal options to have the article removed immediately.”

Concerns were allegedly first raised all the way back in February 2019 after several Wirex employees independently approached the FCA with concerns that customer money was being laundered through the company, according to the report by Fintech Futures.

The employees, one of which was in a senior compliance position, also reportedly raised concerns that Wirex was trading crypto that wasn’t the company’s to trade. Continue reading “Article: FCA comes down on Wirex after allegations of turning a blind eye to money laundering”