Financial Services and Complex Securities
We have an extensive experience in various types of derivative instruments, more specifically with credit default swaps “CDSs” and interest rate swaps “IRSs”.
Our experience covers trade, settlement, modeling, pricing, ISDA documentation, collateral provision and protocols, regulatory framework and reporting requirements, market participant’s roles and relationships, and other related operational activities. We have a strong knowledge of single name, index tranche, and indices CDSs, as well as fixed-floating interest rate swaps (plain vanilla and complex).
We have also been exposed to other OTC and exchange derivatives such as options, futures, forwards, FX and Total Return Swaps, as well as exotic derivative with complex pay off features. Our expertise in derivatives market and instruments was applied in several high stake dispute and litigation cases.
U.S. Largest Insurance Company Stockholder v. U.S. Government
Insurance company’s largest shareholder claim against the U.S. Government for alleged misappropriation of the company’s stock without compensation, in connection with the company’s considerable exposure to Credit Default Swaps that ultimately caused the insurance company liquidity to dry-up.
Top Tier European Bank v. Large Asset Management Company
Dispute between Hedge Fund/Asset Manager and Investment Bank (Funding Agent) over the termination amount for a hybrid CDO warehouse that failed to close, in connection with hedges placed against the warehouse assets, and their potential mitigation impact in the final warehouse losses claimed by the Investment Bank.
Federal Bank v. Investment Bank Liquidation Trustee
Dispute (Mediation) over the termination amount of the interest rate swaps executed between both parties, due to bankruptcy on of the swap counterparties (i.e. the Investment Bank).
Class Action v. Major Investment Banks and Derivative Market Participants
Class action brought by several credit default market participants against ISDA broker dealers and their major third party pricing provider due to alleged price collusion and manipulation.
Large Mexican Retail Chain Company v. Major Investment Banks
Company claim against various top tier investment banks for alleged unappropriated sale of FX derivatives based on their inherent risk and return profile. Dispute of close out amounts of the derivatives instruments sold to the Company.