News & Insights

Help
7 News Results

The authors of a Swiss Institute Research paper found that trading volumes are larger and transaction costs are higher in the "dealer-to-client" trades than "interdealer trades" of the credit default swaps ("CDS") market. According to the finance professors Pierre Collin-Dufresne and Anders B. Trolle , et al. , the CDS market has been functioning as a "two-tiered market" since the implementation of Dodd-Frank, consisting of client trades and interdealer trades. The difference in transaction costs, the authors determined, is due to (i) a "higher price impact of [client] trades" and (ii) the

Office of Financial Research analysts "quantif[ied] the potential direct economic benefits to market participants and increased risks to CCPs of moving bilateral repo transactions between U.S. dealers and their non dealer clients to CCPs."