The Derivative Project

Regulated derivative exchanges

CBOE May Re-Introduce Options On Credit Events, Here is a Common Sense, Cost-Effective Start to Control Systemic Risk

Two hours after The Derivative Project’s Blog Post, today, “Why OTC CDS Derivatives Should Be Put on ICE” meaning not a clearinghouse like ICE, but shelved, the Wall Street Journal published an article on how the CBOE may reintroduce options on credit, which is the first step to offering a…

Why OTC CDS Derivatives Should Be Put On Ice

The Wall Street Journal published an editorial last Friday, “Derivative Rules on Ice.”  This article discussed the fact that ICE, the largest of the CDS clearinghouses, withdrew its federal application to be a CDS clearinghouse. The Wall Street Journal editorial speculated that “Probably because ICE would have had to admit…