Category: Commentary

Front Row Seat at the SEC, CFTC Hearing on SEFs

Also posted on TabbFORUM.com Wall Street (which includes yours truly) was in Washington on Wednesday (Aug 15) to discuss Swap Execution Facilities with the Securities and Exchange Commission and the Commodity Futures Trading Commission. I wasn’t the only one walking the block between Union Station, where the express train from New York arrives, to the […]

Standing Room Only in Hong Kong: Low Latency is High Priority

I created this video while I was in Hong Kong last week for Trading Architecture Asia.  The audio isn’t that great unfortunately, so we’ve transcribed the commentary which you see below (its also on TabbFORUM). …and the transcription: This week I’m in Hong Kong for Trading Architecture Asia 2010. If it’s a sign, almost every […]

The New Buttonwood Tree – Literally

Also posted on TabbForum.com The only thing in the entire 17-acre facility with the letters N-Y-S-E is a small plaque surrounded by buttonwood trees in front of the main entrance.  Even after passing through several security checkpoints, some with good old-fashioned guards and the rest with ID scanners, only employees or the best fintech geeks […]

SEF 101: Deconstructing the Swap Execution Facility

Also posted at TabbFORUM.com and submitted to the CFTC. The term “Swap Execution Facility” (SEF) has been formally christened and will henceforth be a part of OTC derivatives vernacular.  Yet to be determined, however, is whether SEF will become merely a new label for existing businesses or conversely an open door for competition, innovation and […]

The CFTC's Co-location Proposal: Not Ready for Prime Time

Also posted at TabbFORUM.com The CFTC should stick to regulating markets and not try to regulate data center providers.  The recently released proposal by the CFTC does a good job of preventing providers of data center space from competing on their merits and pricing according to market demand.  Don’t get me wrong, I appreciate the spirit of the […]

A Rude Awakening for OTC Derivative Executions: Buying a Bandwagon Seat

Also posted at TabbFORUM.com The current execution landscape for OTC derivatives is in for a rude awakening.  Index CDS and the most liquid interest rate swaps (2-, 5-, 7- and 10-year) are set to move into a world of high speed messaging and even higher speed analytics.  Many have already discussed how an expected execution […]

Getting the Hill out of the Street

My thoughts on the Senate’s passage of Financial Reform – originally posted on TabbForum.com The US Senate has passed its version of financial regulatory reform that will include serious changes, some expected, some not, specific to the OTC derivatives market.  The passage of this bill will lead to a compromise bill created jointly by the […]

Financial Reform: Half Done; Two-Thirds to Go

Originally posted on TabbForum Last week the Senate finally agreed to allow S.3217, the “Restoring American Financial Stability Act of 2010,” to be debated openly on the floor of the Senate.  Since overcoming that procedural hurdle, progress has been relatively swift and the bill is expected to be passed by the Senate before Memorial Day.  […]

OTC Derivatives in the Land of the Rising Sun

Originally posted on TabbForum.com Only the United States and Europe matter – at least that has been the view surrounding OTC derivatives reform.  With CFTC Chairman Gary Gensler reiterating in a recent speech that a “significant majority” of OTC derivative trading is happening in the US and Europe, it is easy to see why Americans […]