Search: derivative
RBA Glossary definition for derivative
derivative – A financial contract whose value is based on, or derived from, another financial instrument (such as a bond or share) or a market index (such as the Share Price Index). Examples of derivatives include futures, forwards, swaps and options.
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International and Foreign Exchange Markets
10 Feb 2010
SMP
– February 2010
The US draft legislation will also require all standardised over-the-counter (OTC) derivative swap transactions between dealers and major swap participants to be traded on an exchange or electronic platform ... Separately, major financial market
https://www.rba.gov.au/publications/smp/2010/feb/intl-fx-mkts.html
Box A: The Bond–Overnight Index Swap Spread and Asset Scarcity in Government Bond Markets
4 Aug 2023
SMP
– August 2023
Box A: The Bond–Overnight Index Swap Spread and Asset Scarcity in Government Bond Markets | Statement on Monetary Policy – August 2023
https://www.rba.gov.au/publications/smp/2023/aug/box-a-the-bond-overnight-index-swap-spread-and-asset-scarcity-in-government-bond-markets.html
Box C: Foreign Currency Exposure and Hedging in Australia
27 Nov 2017
SMP
– November 2017
Hence, in net terms the banks have a small foreign currency asset position after accounting for the use of derivatives for hedging purposes. ... For debt security liabilities – which account for just over half of banks' foreign currency liabilities –
https://www.rba.gov.au/publications/smp/2017/nov/box-c-foreign-currency-exposure-and-hedging-in-australia.html
Domestic Financial Markets and Conditions
10 Aug 2007
SMP
– August 2007
The heightened uncertainty has also been reflected in increased premia on credit default swaps (CDS) – financial derivatives that provide insurance against defaults on bonds – for local banks' debt, though the rises
https://www.rba.gov.au/publications/smp/2007/aug/dom-fin-mkts.html
Domestic Financial Markets
10 Aug 2012
SMP
– August 2012
9). CDS premia referencing Australian banks increased by around 50 basis points in May as European developments and large derivative trading losses reported by JP Morgan pushed these premia wider on
https://www.rba.gov.au/publications/smp/2012/aug/dom-fin-mkts.html
International and Foreign Exchange Markets
10 Aug 2009
SMP
– August 2009
more comprehensive regulation of over-the-counter (OTC) derivatives markets. To this end, proposed legislative changes in the United States will require all ‘standardised’ OTC derivatives to be cleared through regulated ... Similar changes to the CDS
https://www.rba.gov.au/publications/smp/2009/aug/intl-fx-mkts.html
International and Foreign Exchange Markets
10 Feb 2012
SMP
– February 2012
In contrast, there was a large net outflow of capital from the private sector, predominantly reflecting financial derivative outflows (including margin or final payments made on derivative positions that had acquired
https://www.rba.gov.au/publications/smp/2012/feb/intl-fx-mkts.html
Domestic Financial Markets
10 Nov 2011
SMP
– November 2011
Reflecting this, rates on overnight indexed swaps (OIS) fell significantly in August, although the volatility of these rates suggested that sizeable adjustments in derivative positions, at times, may have compromised the
https://www.rba.gov.au/publications/smp/2011/nov/dom-fin-mkts.html
Domestic Financial Markets and Conditions
10 May 2007
SMP
– May 2007
However, the premia on credit default swaps (CDS) – which are financial derivatives that provide insurance against defaults on corporate debts – for companies that are leveraged buyout targets have been volatile and
https://www.rba.gov.au/publications/smp/2007/may/dom-fin-mkts.html
International Economic Developments
10 Aug 2016
SMP
– August 2016
Speculative activity in derivative markets and restocking of iron ore inventories were also likely to have played a role in pushing prices higher for a time, but the prices of steel
https://www.rba.gov.au/publications/smp/2016/aug/international-economic-developments.html