Credit Trading
Levels
Standard Bank is a niche player in tailoring credit solutions in exotic
sovereign and corporate debt in order to meet our high-yield diversified
customer base.
The Credit Trading business offers a variety of emerging market cash and
derivative instruments to our clients. We are active across global emerging
markets, including Latin America, Eastern Europe, Africa and Asia, specializing
in sovereign and corporate Bonds, Floating Rate Notes and Credit Default Swaps.
We have a highly experienced team with a wide range of skills deployed in
sourcing, warehousing and pricing credit risk from different departments within
the bank as well as from the market place.
Structured Credit
The Structured Credit business offers vanilla, exotic and bespoke structured
credit products where client requirements vary between investment products and
risk management solutions.
Our technical and market expertise is matched by our innovation and product
range. Our market expertise is most prominent in Emerging Markets with our core
knowledge in Sub-Saharan Africa, Latin America, Asia, Russia and Eastern
Europe. Structured Credit products include First-to-Default Baskets, Bond
Options, Credit Spread Linked Notes through to Leveraged CLN's and
Extinguishable Cross-Currency Interest Rate Swaps.
Customer Finance
The Customer Finance Group specialises in providing financing secured by
securities using Global Master Repurchase agreements (GMRA), Master Forward
Sale agreements (MFSA) and Total Return Swaps agreements (under ISDA
documentation).
Transactions are typically short term but longer term transactions are
considered. Transactions are subject to a haircut and margined on a daily
basis.
Financing can be offered against fixed income, equity and selected local market
instruments with a particular expertise in emerging market securities. The
Group can arrange structured financing based on client's needs which overcome
cross border, regulatory or taxation issues. In addition to the above, the
trading desk actively helps clients with their general collateral management
needs by offering securities to support their trading activity and by being a
competitive bid for investment grade collateral.
Loan Distribution
Global Distribution is responsible for arranging, structuring and distributing
syndicated loans, trade finance and forfaiting paper originated from over 70
emerging market countries. In 2005, Global Distribution was responsible for
raising over US$8 billion in financing for Standard Bank Group's clients.
Global Distribution specialises in arranging transactions on both a "best
endeavours" and "fully underwritten" basis. For the 'right transaction' we are
willing to underwrite up to $150 million of debt. In syndicated transactions
where a larger underwriting is sought we regularly introduce other banks to
sub-underwrite the financing. Arguably, the leading emerging markets bank,
Standard Bank Plc's Global Distribution Unit arranges tailor made transactions
for clients utilising its well developed expertise in the following sectors:
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Acquisition Finance
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Energy and Natural Resources
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Financial Institutions
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Telecommunications
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Structured and Specialised Finance
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Islamic financing
All transactions are handled though a unique cross regional distribution
platform which has been developed with hubs in Europe, the Far East and
Americas.
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Europe - based in London with offices in Istanbul, Moscow and Prague, with a
focus on Eastern Europe, Russia and CIS, Middle East and Africa.
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Americas - based in New York with representation in Brazil, Colombia and
Mexico, with a focus on Central and Latin America.
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Far East - based in Singapore with offices in Hong Kong and Taipei covering
clients in the Far East with particular focus on China, Indonesia and the
Philippines.
The client's home hub acts as the coordinator for the distribution of each
transaction which is undertaken though all three centres thus providing a
world-wide coverage for all of the teams' transactions.