Insights, tips and industry commentary from the team behind the world’s first production-grade open source risk management platform.

Reflecting on IDX

IDX was buzzing this year with some particularly good sessions looking at industry paradigm changes in post trade derivatives, such as The Future of the Intermediary. Participants on this panel discussed the shift of focus for FCMs away from operational cost and towards capital cost, and the difference between non-differentiating clearing costs such as connectivity to CCPs, and client-facing activities where FCMs provide their core value.

IDX Outlook: Focus on Capital Inefficiencies

Inaccurate OTC derivatives margining is diverting cash away from revenue-generating areas of banks in the form of excess collateral, at the very time when capital is at its most scarce. Derivatives margining is one of the more pressing challenges that the industry should seriously consider at the FIA/FIA Europe International Derivatives Expo (IDX) on June 9-10.

We hope you’ll come and visit us at IDX to discuss some of the solutions we’ve built to address this ongoing industry requirement.

Countdown to Boca: Spotlight on Standardization

It’s that time of year again. The time when many key decision makers in the derivatives industry gather in Boca Raton for the annual FIA conferences. Unlike last year when the key areas of executive focus were on the electronic trading of swaps and associated swap execution facilities (SEFs), this year we expect the focus to be far more on cost cutting.

Margin Moves to the Center: Spotlight on Initial Margin

Mandatory clearing and the prospect of non-cleared swaps moving into a fully-margined environment are starting to weigh heavily on bank P&Ls and available capital.

Kirk Wylie

What's a Chief Innovation Officer?

Yesterday we announced that we were making some changes to the OpenGamma board: Mark Beeston replaces me as Chairman, and Cris Conde joins the board as an independent non-executive director. I will remain an active member of the board, and take on a new role of Chief Innovation Officer. In this post I wanted to provide a few insights into what the new title actually means.

Richard White

Eight Ways to Strip Your Caplets: An Introduction to Caplet Stripping

A new research paper by the OpenGamma Quantitative Research team provides an introduction to caplet stripping, and presents multiple techniques (of different levels sophistication) to inferring caplet/floorlet prices form the market prices of interest rate caps and floors.

Marc Henrard

American options on futures: How American are they?

Less than one month to go until the Ryder Cup, one of the major American-European sporting rivalries. Meanwhile, we are in a year in which futurization is making its way into the standard dictionaries. Bearing these occurrences in mind, it seems an appropriate moment to discuss the differences between American and European futures options.

Innovation in the Listed Derivatives Space

OpenGamma Chairman and Co-founder Kirk Wylie reveals the two major drivers behind innovation in the listed derivatives space in an exclusive interview with FIA Infonet.

Marc Henrard

Finance Fiction - The Impact of Quants on Regulation and Market Structure

After numerous conferences on the impact of regulation and the new market structure on quantitative finance, it's time to start thinking about the impact of quants on regulation and the market structure.

Mas Nakachi

What to Expect at IDX: A 'Clear' Picture?

The FIA’s annual International Derivatives Expo next week will address the complexities of the global derivatives market. With costs of clearing on the rise and new BIS margin requirements set taking effect in December 2015, it will be vital for OTC derivatives participants to take control of their costs.