08:00 – 08:55
08:55 – 09:00
Chairpersons’ opening remarks
09:00 – 09:20
Keynote address: Interest rate benchmarks from an regulator’s perspective
09:20 – 10:00
Panel: A look at Japan’s current collateral management regulatory and documentation landscape
- How prepared are the local banks and buy side firms to implement Phase 5 and 6 of the Initial Margin big bang?
- What are recent regulatory developments impacting Japanese firms implementing IM Phase 5 and 6?
- What are key focus points in margin documentation and custodian arrangements for IM Phase 5 and 6?
- What are useful strategic tips and tactics on project management in the final stretch of IM Phase 5 implementation?
- Securities Financing Transactions and its impact on the market participants
10:00 – 10:30
10:30 – 11:10
Panel: The LIBOR transition – what you need to know
- With LIBOR scheduled to be officially phased out by the end of 2021, what does this mean for Japan’s collateral management sector?
- How will LIBOR reform impact margining? (delete / need more points)
- Moving towards alternative reference rates, how can Japan and the rest of the Asian market ensure a smooth transition?
- Buy side and local bank readiness - what internal company measures are being taken?
11:10 – 11:50
Panel: Resolving operational and IM challenges faced by buy-side and local banks
- Insourcing versus outsourcing, which option should local banks and buy side banks consider?
- Onboarding before or by the September 2020 deadline, how can local banks and the buy side banks ‘beat the clock’?
- IM exposure – a number of local banks do not have a quants team and are utilizing standard models, which leaves them vulnerable to IM exposure, how can they overcome this issue?
11:50 – 12:10
Presentations: Operations techniques for collateral management
- Initial Margin (IM) and Variation margin (VM)
- CCP margin management support
- Utilizing electronic platforms to rationalize margin calls
- Triparty collateral management and segregation
- Making the best use of cash and non-cash assets
12:10 – 13:10
13:10 – 13:30
Presentation: Embracing SIMM and MVA Models
- Preparing for the governance model before utilizing SIMM, how can buy side firms and local banks best prepare for this crucial step?
- Internal Model vs Standard Model vs standard schedule (grid), which model should local banks, buy side firms, and commercial users choose?
- Exploring potential solutions to overcome IM exposure, calculative, and technical burden.
- Utilizing MVA to quantify the cost of IM posting over the lifetime of a portfoli
13:30 – 13:50
Presentation: The latest trends in Japan’s repo market, from an international perspective
- Utilizing Total Return Futures (TRF) as an instrument to manage repo risks
- The Securities Financing Transactions Regulation (SFTR) and it potential impact on the repo and securities financing markets in Japan and Asia
13:50 – 14:30
Panel: How Japan can take advantage of digitization and automation to keep up with the global market
- Utilizing RPA and AI technologies to reduce operational costs
- Standardizing documents - how can Global Custodians utilize STP and digital methods to assist the local and buy-side banks?
- Margin transit utility (MTU) for payment order and messaging automation purposes
- Blockchain technology and creating ledgers for collateral management purposes and IM documentation – how can Japanese players learn from abroad?
Trevor has worked in Investment Banking for over 20 years, starting his career at Salomon Brothers working in Fixed Income Operations. This was followed by positions on the Equity Lending Desk and in Convertible Bond Sales. After a move to Deutsche Bank working on the Repo Trading Desk he moved into Collateral Management and has spent 15 years in this field. Initially heading up the Collateral New Business Team, he then moved on to manage the EMEA Margining Team responsible for OTC, Repo and FX Margining. Trevor then moved to the vendor side, joining Algorithmics in 2008. He has worked as an SME within Product Development, Strategy and PreSales for the last ten years for Algorithmics, IBM and now Smartstream. Trevor holds a Degree in Economics and Politics.
14:30 – 15:00
15:20 – 15:40
Presentation: XVAs and the next level – a deeper dive
- Comparing the advantages and disadvantages of a centralized XVA desk
- Key challenges relating to XVA use
- Changes to XVAs in the future
- Different ways the XVA desk can be set up
15:40 – 16:20
Panel: Establishing capital requirements for CVA’s
- Addressing the lack of divergence between regulatory CVA and market practice
- The poor recognition of CVA hedges – what are the consequences?
- Changes to the current CVA framework – what are the available options?
16:20 – 17:00
Panel: The Future Outlook of Japan’s Collateral Management Industry
- Phase 6 Margin Regulation for 2021 – What can market participants expect?
- As more banks begin the onboard process for Phase 5 and 6, how can Global Custodians best manage the increased workload?
- What role can the local custodians play?
- Market trends and forecasts for the next 12 – 24 months
Asia Head, Fixed Income Derivatives, Funding & Financing Sales
Markus Georgi joined Eurex as the Head of the Hong Kong Representative Office in April 2013. Markus is responsible for Fixed Income, OTC Clearing and Repo/SecLending Sales and Business Development in Asia.
He has 18 years of experience in the financial industry. Markus started his career at Eurex Product Development in Frankfurt in 2001 and then moved to Chicago to take on a role as Lead Business Analyst at Eurex US. In 2008 Markus joined RTS Realtime Systems in Singapore as Head of Product Management for Asia Pacific where he was responsible for the regional trading support desks in Singapore and Australia. Early 2011 Markus moved to Newedge Financial Singapore, a brokerage firm, where he managed the PTG key accounts for Singapore and India. Markus holds a Master of Finance degree from the Technical University of Dresden, Germany.
17:00 – 17:05
17:05 – 17:05