A Practical 10 Step-Guide to Collateral Management
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Collateral Control Services
COLLATERAL CONTROL SERVICES ACE GLOBAL - Collateral Control Services ACE GLOBAL provides a “One-Stop Shop” across the commodity value chain. ACCS Local/Region Transport/Lo Transport/Lo Exporters/ Transformers Traders Countries al Producers gistics gistics Importers Crop Finance • Tanks/Silos • Refiners • Tanks/Silos • Distribution Tax and Duty • Shipping • Mills • Shipping • End Users collection • Rail • Crushers • Rail • Pipelines • Factories • Pipelines • Breweries Existing relationship 1 COLLATERAL CONTROL SERVICES ACE GLOBAL – Solutions Financial Structuring Commercial Engineering Operational Risk Management services General Services services services • Structured Trade and • Contract Farming Services • Field Warehousing • Consultancy Commodity Financing • Trade Flow Facilitation • Collateral Management • Advisory • KYCC services • Commodity Pricing • Secured Distribution • Legal • Commodity profile • Supervising Aid management • Certified Inventory Control • Training • Certified Accounts Receivable Services • Monitoring • Field Audit and Inspection 2 COLLATERAL CONTROL SERVICES ACE GLOBAL BUSINESS PROCESS & OVERVIEW 3 COLLATERAL CONTROL SERVICES ACE GLOBAL & Lenders - Synergies ACTORS SUPPLIER LOCAL AGENT PORT EXPORTER OFF-TAKER Export/Shipm STEPS Delivery of Raw Material Warehousing Processing Warehousing Transit Warehousing Loading Receivables ent TYPE OF Working Capital Financing Receivable Raw Material Financing Export Product Financing FINANCING (Tolling) Financing Supplier Quality/Quantity/Weig Supplier/Processing Carrier Terminal -
Global Master Repurchase Agreement Guidance Notes
Global Master Repurchase Agreement Guidance Notes Fiery and croaky Trip often overdriven some twines puffingly or animate expeditiously. Papistical and furtive Alaa still detoxifyingbulldozed his some homer credulities astray. Audientinerrably. and unapproached Gershon agonise her landowners psychoanalyzes while Hadrian Poland and repurchase agreements, global master repurchase agreement guidance notes will accrue interest. However stresses that. 19 What form the GMRA International Capital Market Association. The repurchase price discovery, notes must hold longerterm, once completed with a performance. For setoff between two material. Borrow fees will be included in the income of a taxable Canadian lender. Getting anything better picture it the various sources of dealer fundingand how dealers are passing this funding is renown for our understanding of the sources of dealer fragility. Based largely on the Global Master Repurchase Agreement GMRA 2000 and. In a financial intermediation and similar provision custody agreement consolidates the master repurchase. Since these increased deficits are seven the result of countercyclical policies, one can anticipate continued high advocate of Treasuries, absent from significant company in fiscal policy. With both SOFR and SONIA based on actual transactions rather than relying on submissions by banks, it reduces the risk of any manipulation and fixing of the rates that plagued LIBOR. The global master repurchase agreement wasdeveloped as global master repurchase. Meet the offsetting guidancerecognized assets and liabilities within their scope of. Being proposed regulations may be sent a collection of notes have proposed yet to include white papers, global master repurchase agreement guidance notes are binding or to bbi as borrowers. In percentage of. Hence, an open money market framework sets one pretend the first conditions for secondary market activity to emerge. -
An Introduction to the VIX Index and Volatility Instruments Alexander Ryvkin Pace University
Pace University DigitalCommons@Pace Honors College Theses Pforzheimer Honors College 2019 Volatility Products and their Uses: An Introduction to the VIX Index and Volatility Instruments Alexander Ryvkin Pace University Follow this and additional works at: https://digitalcommons.pace.edu/honorscollege_theses Part of the Business Commons Recommended Citation Ryvkin, Alexander, "Volatility Products and their Uses: An Introduction to the VIX Index and Volatility Instruments" (2019). Honors College Theses. 230. https://digitalcommons.pace.edu/honorscollege_theses/230 This Thesis is brought to you for free and open access by the Pforzheimer Honors College at DigitalCommons@Pace. It has been accepted for inclusion in Honors College Theses by an authorized administrator of DigitalCommons@Pace. For more information, please contact [email protected]. Volatility Products and Their Uses 1 Volatility Products and their Uses An Introduction to the VIX Index and Volatility Instruments Pace University, Lubin School of Business Pforzheimer Honors College Majoring in Finance Presenting May 9th, 2019 Graduating May 18th, 2019 Examiner: Andrew Coggins By Alexander Ryvkin Volatility Products and Their Uses 2 Volatility Products and Their Uses 3 Abstract Volatility instruments are complex investment products that can be used to hedge or speculate based on changes in market sentiment and fluctuations in the S&P 500. These products offer a unique approach to protecting one’s portfolio and making strategic bets on future market volatility. However, lack of understanding of these products can be potentially dangerous as they can change dramatically in value within extremely short time-frames. Investors must be wary of using these products improperly; failure to adequately assess the risk of using volatility products can deliver devastating losses to one’s portfolio. -
China After the Subprime Crisis
China After the Subprime Crisis 9780230_281967_01_prexviii.indd i 9/1/2010 3:41:25 PM Also by Chi Lo: ASIA AND THE SUBPRIME CRISIS: Lifting the Veil on the Financial Tsunami UNDERSTANDING CHINA’S GROWTH: Forces that Drive China’s Economic Future PHANTOM OF THE CHINA ECONOMIC THREAT: Shadow of the Next Asian Crisis THE MISUNDERSTOOD CHINA: Uncovering the Truth behind the Bamboo Curtain WHEN ASIA MEETS CHINA IN THE NEW MILLENNIUM: China’s Role in Shaping Asia’s Post-Crisis Economic Transformation 9780230_281967_01_prexviii.indd ii 9/1/2010 3:41:25 PM China After the Subprime Crisis Opportunities in the New Economic Landscape Chi Lo Chief Economist and Strategist for a Major Investment Management Company based in Hong Kong, China 9780230_281967_01_prexviii.indd iii 9/1/2010 3:41:25 PM © Chi Lo 2010 All rights reserved. No reproduction, copy or transmission of this publication may be made without written permission. No portion of this publication may be reproduced, copied or transmitted save with written permission or in accordance with the provisions of the Copyright, Designs and Patents Act 1988, or under the terms of any licence permitting limited copying issued by the Copyright Licensing Agency, Saffron House, 6-10 Kirby Street, London EC1N 8TS. Any person who does any unauthorized act in relation to this publication may be liable to criminal prosecution and civil claims for damages. The author has asserted his right to be identified as the author of this work in accordance with the Copyright, Designs and Patents Act 1988. First published 2010 by PALGRAVE MACMILLAN Palgrave Macmillan in the UK is an imprint of Macmillan Publishers Limited, registered in England, company number 785998, of Houndmills, Basingstoke, Hampshire RG21 6XS. -
Interagency Supervisory Guidance on Counterparty Credit Risk Management
Office of the Comptroller of the Currency Federal Deposit Insurance Corporation Board of Governors of the Federal Reserve System Office of Thrift Supervision Interagency Supervisory Guidance on Counterparty Credit Risk Management June 29, 2011 Table of Contents I. Introduction ...........................................................................................................................................2 II. Governance 1. Board and Senior Management Responsibilities ........................................................................................... 3 2. Management Reporting ................................................................................................................................. 3 3. Risk Management Function and Independent Audit ..................................................................................... 4 III. Risk Measurement 1. Counterparty Credit Risk Metrics ................................................................................................................. 4 2. Aggregation of Exposures ............................................................................................................................. 5 3. Concentrations ............................................................................................................................................... 6 4. Stress Testing ................................................................................................................................................ 7 5. Credit Valuation Adjustments -
Risk Management Solutions © 01/2008 Sgs
SGT_0166_Collateral_EN_Impose:Mise en page 1 27.2.2008 11:16 Page 1 WWW.SGS.COM RISK MANAGEMENT SOLUTIONS © 01/2008 SGS. All rights reserved. rights All SGS. 01/2008 © SGT_0166_Collateral_EN_Impose:Mise en page 1 27.2.2008 11:16 Page 2 COLLATERAL The Basel Committee has released a WITH MORE THAN 50,000 EMPLOYEES, SGS PROVIDES A UNIQUE NETWORK COMPRISING OVER 1000 detailed set of requirements dealing BRANCHES AND LABORATORIES WORLDWIDE. MANAGEMENT with bank reserve requirements and risk-weighting in relation to international AND BASEL II commodity finance transactions. COMPLIANCE Basel ll, the new version of the Basel Accord has now significantly changed the regulations in the entire trade finance industry. The intention of the Accord is to encourage banks engaged in commodity financing transactions to adopt robust and comprehensive policies and procedures for the inspection, control, and valuation of commodities, in order to qualify as Advanced Internal Ratings Based transactions. SGS is following closely the evaluation of the Basel Committee proposals in the commodity finance sector, and has tailored its Collateral Management Services to enable its clients to mini-mize the critical Loss Given Default (LGD) component, in order to achieve the lowest possible risk weighting in collateralized commodity financing transactions. PRESENCE OF CM SERVICES: ASIA AFRICA China Angola Senegal India Algeria Sierra Leone Philippines Benin South Africa Malaysia Bissau Tanzania Myanmar Cameroun Togo Singapoore Congo Uganda Vietnam Egypt Tunisia Gambia -
Order Execution and Placement Policy
Order Execution and Placement Policy Version Effective Date 1.2 30 April 2019 Contents Section 1. Introduction ............................................................................................. 3 1.1 Purpose ................................................................................................................................... 3 1.2 Scope ....................................................................................................................................... 3 1.3 Specific client instructions ..................................................................................................... 4 1.4 Restricted counterparty requirements ................................................................................ 4 1.5 Trading outside a trading venue .......................................................................................... 4 1.6 Delegated portfolio management and execution .............................................................. 4 Section 2. Best Execution ......................................................................................... 6 Section 3. Execution Factor Evaluation ................................................................... 8 Section 4. The Execution Process ........................................................................... 10 4.1 Execution venues and trading venues ............................................................................... 10 4.2 Agency or principal ............................................................................................................. -
Impact Study on the Proposed Frameworks for Market Risk and CVA Risk
Basel Committee on Banking Supervision Instructions: Impact study on the proposed frameworks for market risk and CVA risk July 2015 This publication is available on the BIS website (www.bis.org). © Bank for International Settlements 2015. All rights reserved. Brief excerpts may be reproduced or translated provided the source is stated. ISBN 978-92-9197-190-9 (print) ISBN 978-92-9197-191-6 (online) Contents 1. Introduction ...................................................................................................................................................................... 4 1.1 General ................................................................................................................................................................................ 4 1.2 Fundamental Review of the Trading Book (FRTB).............................................................................................. 5 1.3 Credit Valuation Adjustment (CVA) ......................................................................................................................... 7 2. General Info ....................................................................................................................................................................... 8 2.1 Panel A: General bank data ......................................................................................................................................... 9 2.2 Panel B: Breakdown of total accounting CVA and DVA ................................................................................. -
International Swaps and Derivatives Association, Inc. Monday, 31St
ISDA® International Swaps and Derivatives Association, Inc. One Bishops Square, GB - London E1 6AD, + 44 20 3088 3550 Monday, 31st August, 2009 Dear Sir/Madam, Please find below the response of the three associations mentioned above. Yours faithfully, Richard Metcalfe, Head of Policy, ISDA John Serocold, Director, LIBA Bertrand Huet, Managing Director, EU Legal & Regulatory Counsel, SIFMA ISDA represents participants in the privately negotiated derivatives industry and is among the world’s largest global financial trade associations, measured by number of member firms. Chartered in 1985, it has over 830 member institutions from 58 countries. Members include the world's major institutions that deal in privately negotiated derivatives, as well as many businesses, governmental entities and other end users that rely on over-the-counter derivatives to manage efficiently the financial market risks inherent in their core economic activities. Since its inception, ISDA has pioneered efforts to identify and reduce risk in the derivatives and risk management business. Among its most notable accomplishments are: developing the ISDA Master Agreement; publishing a wide range of documentation materials covering a variety of transaction types; producing legal opinions on the enforceability of netting and collateral arrangements; securing recognition of the risk-reducing effects of netting in determining capital requirements; promoting sound risk management practices; and advancing the understanding and treatment of derivatives and risk management from public policy and regulatory capital perspectives. www.isda.org The Securities Industry and Financial Markets Association brings together the shared interests of more than 600 securities firms, banks and asset managers. SIFMA’s mission is to promote policies and practices that work to expand and perfect markets, foster the development of new products and services and create efficiencies for member firms, while preserving and enhancing the public’s trust and confidence in the markets and the industry. -
World Bank Document
Using Commodities as Collateral for Finance (Commodity-Backed Finance) Panos Varangis (Finance and Markets Global Practice) and Jean Saint-Geours (Trade and Competitiveness Global Practice)1 Public Disclosure Authorized Introduction In most emerging markets, the lack of acceptable collateral is often cited as a key constraint on the provision of credit to agriculture. Three main types of collateral are typically used to finance agriculture: farmland, equipment, and agricultural commodities. In many economies, however, the ability to use farmland as collateral is hindered by the absence of land titles or by inefficient land markets. Likewise, mortgaging or leasing out equipment is not always possible due to the lack of mechanization in agriculture, the absence of a legal and regulatory framework conducive to leasing, or limited secondary markets for equipment in case of default. As a result, the third option—use of agricultural commodities as collateral—is increasingly being explored in various countries, particularly in Latin America, South Asia, and East Africa, where financial institutions have developed credit products that use commodities Public Disclosure Authorized as collateral for lending. Such agricultural commodities have an established value and market where quick liquidation mechanisms can in theory provide sufficient funds to cover a loan extended against them in case of a default. While commodity-backed finance refers to both pre-harvest finance (pledge of future production) and post-harvest finance (pledge of existing inventories), using commodities as collateral is more common for post-harvest finance for a few reasons. Post-harvest finance notably leverages tools (presented below) that are simpler to put in place—that is, securing existing commodities is a less challenging task than securing commodities that have yet to be produced. -
Annual Report 2014
CDP - Bilancio2014_Cover-eng 8:Layout 1 25/06/15 16:37 Pagina 1 Cassa ANNUAL REPORT depositi Rome Milan Brussels e prestiti Via Goito, 4 Palazzo Busca Square de Meeûs, 37 00185 Rome Corso Magenta, 71 (7th floor) Italy 20123 Milan 1000 Bruxelles Tel +39 06 4221.1 Italy Belgium Tel +39 02 4674.4322 Tel +32 2 2131950 ANNUAL REPORT www.cdp.it 2014 (Translation from the Italian original) Contents 5 Introduction Role and mission of the CDP Group 6 Company Officers 12 Letter from the Chairman 16 Letter from the CEO 18 21 Report on operations of the Group 1. Overview of 2014 22 2. Macroeconomic scenario and the market 27 3. Composition of the CDP Group 36 4. Financial position and performance 48 5. Operating performance 66 6. Outlook 119 7. Corporate Governance 120 8. Relations of the Parent Company with the MEF 141 9. Proposed allocation of net income for the year 144 145 Allocation of net income for the year 149 Separate Financial Statements 327 Annexes 337 Report of the Board of Auditors 343 Report of the independent auditors 347 Certification of the separate financial statements pursuant to Article 154-bis of Legislative Decree 58/1998 351 Consolidated Financial Statements 621 Annexes 631 Report of the independent auditors 635 Certification of the consolidated financial statements pursuant to Article 154-bis of Legislative Decree 58/1998 Role and mission of the CDP Group PRESENTATION OF THE CDP GROUP The CDP Group (the “Group”) works to support growth in Italy. It employs its resources – mainly fund- ed through its management of postal savings (postal savings bonds and postal passbook savings ac- counts) – in accordance with its institutional mission, in its capacity as a: • leader financier of investments by the public administration; • catalyst for infrastructure development; • key player in supporting the Italian economy and business system. -
Final Rule: Regulation
SECURITIES AND EXCHANGE COMMISSION 17 CFR PARTS 200, 201, 230, 240, 242, 249, and 270 [Release No. 34-51808; File No. S7-10-04] RIN 3235-AJ18 REGULATION NMS AGENCY: Securities and Exchange Commission. ACTION: Final rules and amendments to joint industry plans. SUMMARY: The Securities and Exchange Commission (“Commission”) is adopting rules under Regulation NMS and two amendments to the joint industry plans for disseminating market information. In addition to redesignating the national market system rules previously adopted under Section 11A of the Securities Exchange Act of 1934 (“Exchange Act”), Regulation NMS includes new substantive rules that are designed to modernize and strengthen the regulatory structure of the U.S. equity markets. First, the "Order Protection Rule" requires trading centers to establish, maintain, and enforce written policies and procedures reasonably designed to prevent the execution of trades at prices inferior to protected quotations displayed by other trading centers, subject to an applicable exception. To be protected, a quotation must be immediately and automatically accessible. Second, the "Access Rule" requires fair and non- discriminatory access to quotations, establishes a limit on access fees to harmonize the pricing of quotations across different trading centers, and requires each national securities exchange and national securities association to adopt, maintain, and enforce written rules that prohibit their members from engaging in a pattern or practice of displaying quotations that lock or cross automated quotations. Third, the "Sub-Penny Rule" prohibits market participants from accepting, ranking, or displaying orders, quotations, or indications of interest in a pricing increment smaller than a penny, except for orders, quotations, or indications of interest that are priced at less than $1.00 per share.