{"id":9055,"date":"2008-11-06T00:00:00","date_gmt":"2008-11-06T00:00:00","guid":{"rendered":""},"modified":"-0001-11-30T00:00:00","modified_gmt":"-0001-11-30T04:00:00","slug":"hedge-funds-count-the-cost-of-trading-losses","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/11\/2008\/hedge-funds-count-the-cost-of-trading-losses.html","title":{"rendered":"Hedge funds count the cost of trading losses"},"content":{"rendered":"<p>Guardian.co.uk &#8211; Hedge funds and banks are expected to bear the brunt of derivative losses estimated at $15bn (&pound;9.4bn) linked to the collapse of Iceland&#8217;s three major banks &#8211; Landsbanki, Glitnir and Kaupthing &#8211; which failed in rapid succession last month.<\/p>\n<p>The complex unwinding of trades linked to debt issued by the banks began yesterday with a settlement auction to determine the payout price on credit default swap (CDS) contracts &#8211; insurance taken out against the risk of debts going bad &#8211; for Landsbanki.<\/p>\n<p>Payouts on all three banks are expected to be some of the largest ever seen in the $54.6tn CDS market &#8211; greater than those relating to Lehman Brothers, whose collapse triggered the meltdown of the global financial system. <\/p>\n<p>The high settlement prices for Icelandic bank CDSs will be a blow to hedge funds, banks and other derivative traders who insured the debt.<\/p>\n<p>  <strong><a target=\"_blank\" href=\"http:\/\/www.hedgeco.net\/news\/news_land.php?i=http:\/\/www.guardian.co.uk\/world\/2008\/nov\/05\/iceland-landsbanki-banking-hedge-funds\">Read Complete Article<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Guardian.co.uk &#8211; Hedge funds and banks are expected to bear the brunt of derivative losses estimated at $15bn (&pound;9.4bn) linked to the collapse of Iceland&#8217;s three major banks &#8211; Landsbanki, Glitnir and Kaupthing &#8211; which failed in rapid succession last [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[1173,3352,790,2110,3583,3584,3585,1461,2908,96,3156,173,439,236,547],"class_list":["post-9055","post","type-post","status-publish","format-standard","hentry","category-syndicated","tag-anxiety","tag-apportionment","tag-ccc","tag-conspiracy","tag-demand-forecasts","tag-finance-products","tag-financial-investments","tag-fund-of-fund","tag-growth-prospects","tag-lehman-brothers-holdings","tag-mason","tag-strategist","tag-sumitomo","tag-trillion","tag-wb"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/9055","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=9055"}],"version-history":[{"count":0,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/9055\/revisions"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=9055"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=9055"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=9055"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}