ZeroHedge | On a long enough timeline the survival rate for everyone drops to zero. China Financial Markets. RIP DM Sovereign CDS (2006-2011) Like many derivatives products dreamed up by Wall Street's financial innovators, the Developed Market (DM) Sovereign Credit Default Swap (CDS) market was born out of the desire to transfer risk off the books of banks to investors suited to managing those risks.
Following the successful establishment and effectiveness of risk transfer in the corporate CDS market, the onset of the Asian Financial Crisis spurred growth in trading in Credit Default Swaps on Emerging Market countries' debt. However, legal documentation issues relating to the 1998 Russian bond default hinted at the structural problems embedded in the contracts, subsequently confirmed when the economically coercive 2001 Argentinean so-called "Mega-Swap" did not trigger CDS.
Indeed, even though Argentina eventually repudiated its debt unilaterally, many protection buyers' swaps had already expired by then, and trading volumes in EM CDS fell substantially, only really recovering post the 2003 overhaul of ISDA's rulebook. Someone Is Going To Jail For This: MF Global Caught Stealing Hundreds Of Millions From Customers? Say you are the head back office guy at MF Global, it is the close of trading on Thursday, the firm has already completely drawn down on its revolver, and all the resulting cash in addition to all the firm's cash at your disposal in affiliated bank accounts, up to and including petty cash, has been used to satisfy margin demands due to declining collateral value, yet the collateral calls just won't stop, and impatient voices on the other side of the phone line demand you transfer even more cash over immediately or else risk default proceedings commenced against you within minutes.
What do you do? The sad truth of just how low Wall Street has fallen comes to us courtesy of the New York Times: Federal regulators have discovered that hundreds of millions of dollars in customer money have gone missing from MF Global in recent days, prompting an investigation into the company’s operations as it filed for bankruptcy on Monday, according to several people briefed on the matter. Blog de Paul Jorion. Emergency and Disaster Information Service. Denissto.eu | Analyses financières économiques géopolitiques. Bulle Immobilière | Premier forum immobilier français 1.000.000 messages. Une contribution donnant une bonne définition de ce qu'est le prix du marché Je bosse depuis presque 30 ans dans des agences immo (administratif/compta), j'ai connu le marché en baisse (en crise même, dans les années 90) et je voulais juste préciser un point : "le prix du marché" ça ne veut rien dire.
Le vrai prix du marché on ne le connait que quand on a vendu C'est un terme que les pro emploient pour indiquer que l'estimation est dans les clous de ce qui s'est vendu récemment, mais ça ne garantie en rien qu'elle est bonne et surtout qu'elle va le rester longtemps. Le marché peut évoluer vite, à la hausse comme à la baisse, et si le bien n'est pas vendu sous 3 mois ou qu'il se vend en une semaine, c'est qu'il n'a jamais été au "prix du marché". Pour imager, il y a 3 situations de marché : Le prix du marché est alors celui de la vente contrainte, soit généralement entre -10% et -30% des prix estimations et des prix affichés en vitrine. Extraits et communiqués.