THOMSON REUTERS EIKON WHAT S NEW IN THOMSON REUTERS EIKON FOR JANUARY 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 Monitoring FX&MM Data...2 What s New Working With Communities...7 What s New Working With News...8 What s New Pricing and Valuation...9 Need help or further training?...10 * The January 2011 release is dependant on installation of Service pack 1
WHAT S NEW MONITORING FX&MM DATA TRADING A dedicated RTFX Guide for further information on our multi-bank FX trading platform. The Thomson Reuters RTFX trading platform offers best price execution from deep pools of liquidity. The new RTFX guide page explains what RTFX is and how you can access it. Navigate to the Market Data and Tools section of the Foreign Exchange Guide and click on the Reuters Trading for FX link in the trading section or type in trading FX in the Search box. PRICING AND VALUATION Forward Delta and Forward Gamma in Currency Options Calculator and Currency Strategy Calculator Users of the Currency Options Calculator and Currency Options Strategy Calculator can now calculate forward delta and forward gamma. 2
In your flex document click on the Insert button of the document toolbar and select calculator. From the Calculator Homepage select Currency Options or Currency Options Strategy calculator. New Vanna Volga Methodology now supported in the Currency Options calculator The Currency Options Calculator and Currency Options Strategy Calculator now support the Vanna Volga pricing methodology. Vanna Volga calculates the cost of hedging the volatility risk using new Greeks Vanna (change in Vega for a change in spot aka dvega/dspot) and volga (change in vega for a change in volatility aka dvega/dvol). The Vanna Volga methodology incorporates these new sensitivities into the Black-Scholes equation, allowing for more accurate results. In your flex document click on the Insert button of the document toolbar and select calculator. From the Calculator Homepage select Currency Options or Currency Options Strategy calculator. Various enhancements on Currency Options Strategy calculator The Currency Options Strategy calculator has been redesigned to ensure that key data is visible at all times, to incorporate bid/ask prices and enhance the sensitivity calculations. - See two way (bid/ask) prices on each leg. Where bid and ask are displayed, the model highlights which values are relevant to the user, based on whether the leg is buy or sell. - Sensitivities calculations have been enhanced to align with market conventions. o New Aggregated sensitivities section. o The delta hedge is shown in terms of base currency amount and quoted currency amount. o Gamma, vega, theta and rho calculations show values in % base currency, and in base currency amount. o Gamma hedge is available in base and quoted currency amounts. - The user can choose a premium currency. If the selected premium currency is the base currency, the spot delta will be replaced by the premium-adjusted spot delta (this takes into account the fact that the premium paid or received will impact how much the user needs to transact as a hedge) and the gamma and gamma hedge will be replaced by premium-adjusted values. 3
In your flex document click on the Insert button of the document toolbar and select calculator. From the Calculator Homepage select Currency Options Strategy calculator. 4
CHANGE VIEWING FREQUENCY IN FX CARRY TRADE CALCULATOR You are now able to change the frequency of the chart of the Cumulative Excess Returns Index and view up to 10 years of time series data for some currencies. (Monthly view) Frequencies available are Daily/Weekly/Monthly. Within the FX Carry Trade Calculator, the time series of daily data has now been increased from 3 years to 5 years. In the FX Carry Trade Calculator, users can now view an extended 5 years time series daily chart of the Cumulative Returns Index. 5
In your flex document click on the Insert button of the document toolbar and select calculator. From the Calculator Homepage select FX Carry Trade calculator. 6
WHAT S NEW WORKING WITH COMMUNITIES Revamp of My Profile page with consolidation of your personal details and increased space for your commentaries. A re-design of the My Profile page. The sections of the profile have been split and can now be edited separately, rather than as part of a large editable form. Privacy settings can be grouped for relevant fields. 7
To open your profile page, click on My Profile in the My Eikon menu. From there, click on the appropriate edit button to make changes to that part of your profile. WHAT S NEW WORKING WITH NEWS Personalise Content Explorer News components default language. When changing the Languages Read preference, the appropriate news language code(s) will be applied to news searches done via Search News or the Advance News Search in Content Explorer. The News Search Result View will then only show headline results for the search expression entered that also match the news language code(s) selected in the Preference. Note: The setting will apply to News widgets embedded in the Content explorer Guides and Views, with the exception of Top News components. 8
Under My Eikon > My Preferences users can choose one or multiple news languages: WHAT S NEW PRICING AND VALUATION The Zero Coupon Builder now allows fixings as well as other asset class instruments for User defined curves. You can now use Fixings such as Libor rates as input to your User defined zero curves as well as enter a specific Instrument Code (RIC - Reuters Instrument Code) as value. 9
In your flex document click on the Insert button of the document toolbar and select calculator. From the Calculator Homepage select ZC Builder and click Instrument Selection. 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: https://customers.reuters.com/trainingknowledgenetwork/eikon/ You can contact your local training centre. 10