TABB Group Sees First-Mover Advantage in Innovation and Migration for Firms in Coming Post-Dodd-Frank Period

Research Note Focuses on Futurization, Traditional OTC Swaps Business Product Alternatives as Beneficiaries of Regulatory Change, Leading to More Profitable Trades

NEW YORK & LONDON--()--While the past several years of regulatory uncertainty have frustrated, if not left, the derivatives industry treading water, capital markets research firm TABB Group, in new research, believes the coming post-Dodd-Frank period portends to be a watershed moment in innovation and migration for many capital markets firms.

Now that final parts of the new regulatory landscape for over-the-counter (OTC) and exchange-traded derivatives (ETDs) may be nearing enactment - seven years after the global financial crisis that set the process in motion and five years after the Dodd-Frank law set the framework for sweeping new regulations, TABB Group principal, head of futures research Matt Simon, and contributing analyst Andy Yemma, who co-authored “Regulatory Exhaustion: The Market Opportunity Ahead,” say that futurization and product alternatives for the traditional OTC swaps business are starting to appear as direct beneficiaries of regulatory change. They believe that advancements made by the vendor and brokerage community sparked by regulatory change will make trading and finding more profitable trades a more sophisticated and deeper analysis for market participants.

According to Simon, the coming regulatory implementation is a potential period of unprecedented product and service innovation in the exchange-traded derivatives markets. “In 2015, movement of swaps onto clearing platforms is largely a fait accompli, but movement onto exchanges and swap execution facilities (SEFs) and into ETD products like futures and options on futures (OOFs) will require innovation, education and, above all, value that enhances their decision.”

The 7-page, 4-exhibit research report is available for download by all TABB Group Research Alliance Derivatives clients and pre-qualified media at http://www.tabbgroup.com/Login.aspx. For a copy of the Executive Summary or to purchase the report, write to info@tabbgroup.com.

Recent related TABB futures market research includes: US Futures Market Review: Fourth Quarter 2014; US Futures Exchanges 2014 Volumes; US Equity Index Derivatives: The Next Phase of Institutional Discovery; and Futures Industry Poll: The Buy Side Assessment.

About TABB Group
Based in New York and London, TABB Group is the research and consulting firm focused exclusively on capital markets, based on the interview-based, “first-person knowledge” research methodology developed by Larry Tabb.

Contacts

martinrabkinink
Martin Rabkin, 914-420-5739
mrabkin@martinrabkinink.com

Release Summary

TABB Group Sees First-Mover Advantage in Innovation and Migration for Firms in Post-Dodd-Frank Period; Research Note Focuses on Futurization, Traditional OTC Swaps Business Product Alternatives

Contacts

martinrabkinink
Martin Rabkin, 914-420-5739
mrabkin@martinrabkinink.com