Lyxor AM, Old Mutual Welcome New GMEX Rate Swap Contract

Buy-side firms including Lyxor Asset Management and Old Mutual Global Investors support new hedging products

The FCA-regulated exchange GMEX is set to launch this summer, says Misra.

As regulatory reform that all swaps be centrally cleared within a five-day margin begin to kick in, trading swaps has become increasingly expensive and a multitude of players are looking for a more margin-efficient and cheaper way to hedge their interest rate exposure.

“Given the increased capital requirements related to the forthcoming central clearing and front loading rules, we thought there were not enough alternative in the system to help participant hedge their exposure,” says Hirander Mis

To continue reading...