WHAT S NEW IN THOMSON REUTERS EIKON FOR FEBRUARY 2011 FX & MONEY MARKETS

Transcription

1 THOMSON REUTERS EIKON WHAT S NEW IN THOMSON REUTERS EIKON FOR FEBRUARY 2011 FX & MONEY MARKETS Thomson Reuters Training It is essential to keep up to date with new functionality and features for Thomson Reuters Eikon. This document outlines desktop enhancements in Thomson Reuters Eikon for FX & Money Markets. Content: What s New Exploring Content...2 What s New Monitoring...6 What s New Pricing and Valuation...10 What s New Working With Communities...14 What s New Exploring Cross Asset Content...16 Need help or further training?...17 * The February 2011 release is dependant on installation of Service pack 1.1

2 WHAT S NEW EXPLORING CONTENT OTC Options Guide The FX OTC Options guide now offers a much wider choice of data by allowing you to select a specific currency pair for which you wish to view data/charts. For example, if you have selected Euro for the guide page, previously you would have seen EUR/USD data only; now you will see a currency pair dropdown offering you other EUR pairs. Selecting a pair from this dropdown updates the data in the volatility surface and ATM vol tables, the chart, and the new quick chart links. New quick chart links send you directly to the Volatility Quick Chart either the smile chart, or the 3D volatility surface chart - with the currency pair selected as per the dropdown. In addition, you can select the tenor for the ATM chart by clicking on the Edit button. Please ensure to install Service Pack 1.1 to benefit of this new feature Users can find all the relevant interbank market data including links to contributors for specific currencies in the Islamic Money Markets Guide and all on one page. Users can find all the relevant interbank market data including links to contributors for specific currencies in the Islamic Money Markets Guide and all on one page. 2

3 Users can select the currency from the drop down list and find Murabaha rates and spreads against the dollar as well as well as deposits, fixings, interest rate swap prices, deposits, commodity and FX spot and forward prices. 3

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6 WHAT S NEW MONITORING The new FX Spot Probability model allows you to see the probability of future spot rates within a particular range. The new FX Spot Probability model allows you to see the probability of future spot rates within a particular range, based on the market expectations available in FX volatility surfaces. The easy to use interface means that you do not need to be experienced in FX options to use the model. Clear, easy to use model comprised of a single page. Handles any currency pair for which we carry the underlying volatility surface. Displays the data in ATM, risk reversal, butterfly format. Allows users to modify the data. Provides charts to aid understanding. Shows the probability of spot being within a user-defined range. Links to other pre-built displays and options calculators. Benefits The FX Spot Probability model allows users interested in spot rate forecasting to leverage our FX vol surfaces, in order to see the probability that spot will be in a user-defined range, at a certain time, based on market expectations. Users do not need a great understanding of FX vol surfaces as the model translates the market-quoted volatility smile into an easy to understand risk-neutral probability distribution. Using the market volatility smile provides a forecast of spot rates, which can be used in conjunction with standard FX polls to gain a better understanding of the likely direction of prices. The model allows for a quick explanation of an options price where an option generates pay off towards the centre of the distribution it has a high probability and will attract a higher price in comparison to an option which is towards the edge of the distribution. 6

7 Funding Focus model and the FXMM Monitor models both contain a tab enabling users to view the best bid and ask rates of deposits from contributers Users can now use the All Sources tab in the Funding Focus model and the FXMM Monitor models to view the best bid and ask rates of deposits from brokers. In addition, users can monitor the deposit rates of different contributors selected by the user. This pre-trade price discovery should help users to anticipate the rates prior to getting prices from their counter-parties. Furthermore, users can now change the contributors of deposit rates in the All Sources tab of the Funding Focus and the FXMM Monitor model prior to contacting their counterparties. 7

8 FXMM Overview model to get an overview of the FXMM market for a selected currency from a user-selected broker and bank contributions The FXMM Overview model which allows you to get an overview of the FXMM market for a selected currency has been enhanced. You can now select specific and preferred sources of brokers or bank contributors for their FX and Money Market Rates instead of accepting the multi-contributor sources. To do this, you should select the Edit Source button in the top right hand corner. This enables the Change Source drop down function in some of the tables where you can select the preferred bank or broker contributor for any or all of the tables. Then you can click Save. 8

9 The source for FX Forwards has now been changed from multi-contributor to ICAP as can been seen below. Please note that the contributor then stays the same for that asset class for other selected contributors unless you edit the source again. 9

10 WHAT S NEW PRICING AND VALUATION Thomson Reuters Real-time Deposits are now quoted in a more useful manner, including day count figures How to access? In Thomson Reuters Eikon, you can access a Quote List by: a) Clicking on a real time button from within a guide page. b) Hitting F2 to bring up a Quote List and typing in the code for the forward chain, eg EURD= 10

11 Thomson Reuters Real-time swap points are now quoted in a more useful way, by including outright rates. When viewing a QuoteList for a forward chain, you can now view the corresponding outright rate. How to access? In Thomson Reuters Eikon, you can access a Quote List by: a) Clicking on a real time button from within a guide page. b) Hitting F2 to bring up a Quote List and typing in the code for the forward chain, eg EURFWD= The NDF calculator now displays Fixing and Settlement dates alongside the trade date, and these are also available for broken dates. The NDF calculator now contains fixing dates including for Broken Dates. Special attention has been paid to the correct calculation of these fixing dates, based on rules governing whether or not US holidays / local holidays etc. should or should not be included in their calculation. 11

12 A new model dedicated to non deliverable currency instruments is now available in Thomson Reuters Eikon Thomson Reuters Eikon now provides one desktop offering for the coverage of Non-Deliverable instruments, to accommodate the business needs of all geographic locations. This new model provides real-time pricing from a variety of contributors and brokers for non-deliverable forwards, outrights, cross currency swaps, OIS and IRS and the data is grouped into geographical regions: Latam, Asia and EMEA. These pages also include the newly released Thomson Reuters NDF spread data. NDF prices are clearly distinguished as 'onshore' or 'offshore' and fixing dates and rates are provided for each currency. You can save your preferred choice of contributor / broker so that when you leave the model and come back to it at a later date, they remain displayed in real-time. There is also a 'My Country' tab providing more general market data per country. NDF specific news can be read in local language or in English, based on the user's choice. The model also provides access to the Reuters CDS Viewer, allowing the user to compare multiple countries' credit-worthiness against each other. Finally, a 'Charts and Comparisons' tab provides an assortment of curve charts, spread charts and price comparison tables, where users can compare prices between contributors and brokers and look for arbitrage opportunities. 12

13 Forward premium now available in currency options and currency options strategy calculators The currency options and currency options strategy calculators now give you the choice of spot or forward premium. 13

14 WHAT S NEW WORKING WITH COMMUNITIES Preview your contacts with a simple hover on My Contacts Page Rather than expanding contacts on the page, you can now view profile cards from the contact list by hovering over a contact for 3 seconds, and then view the entire profile by clicking on the contact s name in the profile card. In addition to this new functionality, the User Interface is better organised, classifying contacts into groups is made easier through drag and drop, and search changes are consistent with Messenger. How to access? From the My Eikon menu, click on My Contacts. Note: You must be signed into Messenger to be able to manage your contacts. 14

15 Search Related Topics within a Commentary When reading a commentary, you will now be able to navigate to other commentaries with related topics. All related topics are listed at the bottom of each commentary. These topics are now links which will run a search and find all commentaries that are also tagged with this topic. How to access? Click on a commentary topic anywhere in the product, on My Inbox, My Commentaries and Commentary Search pages. 15

16 WHAT S NEW EXPLORING CROSS ASSET CONTENT Compare Countries based on Geographic Association or Economic Classification The Country Comparison allows the user to compare the selected country to a group of up to 7 it's peers (i.e. up to 8 countries compared in total). The peer group of countries is determined either by geographic association (e.g. Latin America), or by economic classification (e.g. BRIC+4). The selected country will always appear in the leftmost column with its peers then listed in alphabetical order to the right. Furthermore, for those groups of countries which consist of more than 8 countries (e.g. the Eurozone), the countries are further divided up in terms of the size of their economies. This is determined by the GDP figures provided by the International Monetary Fund and the World Bank. The comparison itself is based on the market data shown within the Country Overview screens, i.e. the data contained within the Market Instruments and FX Rates components. In terms of the Market Instruments data the user is able to compare the countries in terms of Stock Indices levels, Central Bank, Interbank Offered and Interest Rate Swap rates, Benchmark Bond yields and CDS prices. In terms of the FX Rates data the user is able to compare the countries in terms of FX Spot and Cross rates, FX Forward rates, and FX Volatility prices. How to access? On the country overview page, you have an additional tab called Country comparison 16

17 NEED HELP OR FURTHER TRAINING? Use the Support Links on the left hand side of your Thomson Reuters Eikon Home Page to quickly and easily get help, contact us, request training and access On-Demand training modules and find information on new features within the product. You can access comprehensive on-demand elearning modules by clicking on the Training link from the Support links on your Home Page and/or register for our interactive training sessions directly via our website: You can contact your local training centre. 17