Coming to good bookshops near you soon January 28, 2013 at 6:24 am

My new book, OTC Derivatives: Bilateral Trading & Central Clearing will be delivered to the publisher this week. These roughly 300 pages of goodness should be out in the summer. Just to whet your appetites, here’s the table of contents.


Chapter 1 – Over-The-Counter Derivatives
1.1 OTC Derivatives: Trading And Its Consequences
1.2 The Risks of OTC Derivatives
1.3 The Pre-Crisis OTC Derivatives Market

Chapter 2 – The Counterparty Relationship
2.1 Portfolios and Payment Netting
2.2 Default and Close Out Netting
2.3 Credit Support: Margin and Collateral
2.4 Rehypothecation and Funding
2.5 Novation, Standardisation and Simplification

Chapter 3 – The Valuation and Risk of OTC Derivatives
3.1 Derivatives Valuation Under a CSA
3.2 Estimates of Default Risk and CVA Management
3.3 Counterparty Credit Risk
3.4 The Risks in Credit Support and Procyclicality
3.5 Wrong Way Risks
3.6 Regulatory Capital Requirements for Default Risk

Chapter 4 – The Role of OTC Derivatives in the Crisis
4.1 The Dogs That Barked and The Dogs That Didn’t
4.2 A Very Short History of the Financial Crisis
4.3 Credit Derivatives In The Crisis
4.4 OTC Derivatives and Interconnectedness
4.5 Broader Vulnerabilities

Chapter 5 – Regulatory Responses To The Crisis
5.1 Capital
5.2 Liquidity Risk
5.3 Pre– and Post-Trade Reporting
5.4 Disclosure
5.5 Interconnectedness
5.6 Resolution
5.7 Risk Coverage

Chapter 6 – OTC Derivatives Central Clearing
6.1 OTC Derivatives Central Counterparties
6.2 Clearing and Clearing Houses
6.3 Organisational and Legal Issues
6.4 Client Clearing
6.5 Margin and Default Management
6.6 Segregation for Cleared OTC Portfolios

Chapter 7 – The Emerging OTC Market Infrastructure
by Bill Hodgson
7.1 The Current Bilateral OTC Environment
7.2 Trading In The Future Cleared OTC Environment
7.3 CCP Processes For Clearing Members
7.4 Clearing For Clients
7.5 Other Issues

Chapter 8 – Risks in OTC Derivatives Central Clearing
8.1 Risks To CCPs
8.2 CCP Risk I: Mitigation
8.3 CCP Risk II: Externalities
8.4 Risks from CCPs
8.5 Risks from Mandatory Clearing

Chapter 9 – Design Choices in Central Clearing and their Consequences
9.1 Financial resources
9.2 CCP Organisation
9.3 Clearing Mandates
9.4 Opposing paradigms
9.5 Deconstructing an OTC derivatives CCP

Chapter 10 – The Aftermath of Mandatory Central Clearing
10.1 Winner and Losers
10.2 The Future of OTC Derivatives Markets
10.3 The Impact of Mandatory Clearing on End Users
10.4 Post-crisis Ruling Making and its Consequences


2 Responses to “Coming to good bookshops near you soon”

  1. […] future market infrastructure for OTC products, and is written by myself. Full details over at DEM: or see […]

  2. Congratulations and good luck!