Insights, analysis, and updates from the National Introducing Brokers Association
Jack Bouroudjian discusses the reconstitution of the Russell 2000 index, and how that might affect other equity indexes in the weeks ahead. He also touches on what the appetite for risk might be heading into the third quarter. The post Market Update: Russell Reconstitution appeared first on OpenMarkets. Source: CME Open Markets - Market Update: Russell Reconstitution
There has always been a contrasting yet complimentary relationship between U.S. equities and the Bond market, and I believe there always will be. In addition, one typically leads the other and that leadership continues to be debatable from market cycle to market cycle. Therefore, decades of market cycles have taught us that typically when stock prices go up, bond prices go down. In other words, bonds and stocks have an inverse relationship. If someone were fully invested, they would most likely have to sell one in order to buy the other. This periodically can create volatility. The relationship between stocks and bonds can be tumultuous at times but, the two have always found a way to live together. Risk On, Risk Off To better understand Treasuries, it is important to recognize that the relationship between treasury prices and yields of treasuries is an inverse one. When bond prices are falling...
Jack Bouroudjian discusses the reconstitution of the Russell 2000 index, and how that might affect other equity indexes in the weeks ahead. He also touches on what the appetite for risk might be heading into the third quarter. The post Market Update: Russell Reconstitution appeared first on OpenMarkets. Source: CME Open Markets - Market Update: Russell Reconstitution
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The NIBAs annual spring NYC conference was a great success. If you were not able to attend or if you would like to refresh some of the sessions please have a look at the conference videos. The videos can be found at the link below NYC Spring 2019 Conference Videos
“You’ve got to be very careful if you don’t know where you are going, because you might not get there.” -- Yogi Berra Almost everything in life has its corresponding Yogism. The NIBA/DePaul Symposiums are no different, as over the past six years the Symposium has offered a forum to ponder as an industry where we have been, where we are now and where we are going. The 2019 symposium will continue that tradition, as we try to figure out which way we’re headed so we know when we get there. If to know where we are going we have to know where we have been, Dan Roth is well suited to guide us. Dan’s 30 plus years at the National Futures Association covered everything from the introduction of equity index futures and transition from floor to screen to the collapse of Long Term Capital Management, Lehman, MF Global and...
On May 16, NFA held their Board of Directors Meeting and Annual Reception in Washington DC. I was asked to represent the NIBA. At the board meeting, the NFA reviewed its budget and goals for the year. Maybe more importantly to NIBA members, the board approved the amendments to the NFA interpretative notice addressing Rule 2-9 Supervision of Branch Offices and GIBs. In early March, NFA staff met with NIBA board member Steve Petillo and myself to discuss the updating of this policy, and to learn the opinions of our members.The final notice reflects that conversation resulting in a more flexible approach for FCMs and IBs who have GIBs and branch offices. The unique character of each branch or GIB, such as what type customer is served, how long the office has been doing business and prior disciplinary history can, and should be taken into consideration when developing and implementing...
June - National Smile Month Take Your Dog to Work Day (June 21) The U.S. Senate confirmed by an 85-9 voice vote on June 6, Heath Tarbert as incoming chairman of the CFTC, replacing current chairman Chris Giancarlo. Tarbert is a member of the Financial Stability Board, the international body established after the financial crisis to monitor global markets. He clerked for Supreme Court Justice Clarence Thomas prior to serving as Assistant Secretary for International Markets in the current administration. At 42 years old, he is one of the youngest chairman to ever serve. NIBA has a good relationship with the office of the chairman, built through years of open, honest and consistent communications with the regulatory body, and we will work to see it continues. We accomplish that with meetings with the entire Commission and staff throughout the year, and by submitting comment/opinion letters to the Commission and its...
July is right around the corner and the DePaul symposium committee has been working hard to deliver an outstanding program once again this year. Check the website for updates and for the full agenda to be announced in the coming weeks. Topics will include: "The State of Managed Business" "Issue Briefings" on Regulation, Marketing and Product "Armchair chat with an industry Icon" Registration is now open and is filling up quickly so be sure to reserve your spot today! We greatly appreciate the support of our event sponsors:
CME Group, the world's leading and most diverse derivatives marketplace, today announced it will launch the next generation of its industry-leading Standard Portfolio Analysis of Risk (SPAN) margin framework – CME SPAN 2. The new framework is slated for testing in the second half of 2019 and, pending regulatory review and approval, roll out in the first half of 2020. CME SPAN 2 will provide enhanced risk management capabilities in a single, unified interface by maintaining SPAN's current calculations and functions while incorporating several new modeling, reporting and margin replication enhancements. As with SPAN, CME SPAN 2 will continue to be based on a Value at Risk (HVaR) framework, using historical data to model how a position or portfolio may gain or lose value under various risk scenarios. CME SPAN 2 will enable implementation of granular and dynamic adjustments to margins at a product and portfolio level. In addition, CME...
