Feds Closer To Setting Up CDS Clearing Houses - CNBC
"By establishing the central clearing houses, if it is done correctly, there will be an honest recognition of capital allocation to every credit default swap contract that gets written," said Cawley.
IDX Capital today announced the completion of its first TABX trade in the interdealer market. TABX or ABX Tranche Indices are constructed utilizing the names of the BBB and BBB- ABX indices; each set combining the 07-01 and 06-2 reference obligations. Despite recent market volatility, TABX commenced trading in February with several dealers committing to making markets in its various tranches.
James Cawley, Chief Executive Officer, said “We’re delighted to have completed our first trade in TABX. It underlines our continued commitment to assisting the dealers in an effort to build liquidity in this new and exciting asset class.”
IDX Capital LLC is an interdealer broker of credit derivatives operating in the over-the-counter market that matches both institutional buyers and sellers for a fee. They currently offer execution services in US corporate credit derivatives and home equity ABX and TABX index products.
