An Introduction to Trading in the Financial Markets: Global Markets, Risk, Compliance, and Regulation

Preface for the Set Preface Overview Visual Glossary Future PART 1. Global Markets Introduction 1. Geography Regional Structure 2. Instruments Primary Instruments Secondary Instruments 3. Entities Buy-Side Entities Sell-Side Entities Trading Venues 4. Trading Practices Buy-side Trading Practices Sell-Side Trading Practices 5. Issues Centralization versus Decentralization Electronic Trading Latency Related Information in Other Books PART 2. Risk Introduction 1. Type of Loss Instrument Loss Position or Portfolio Loss Department or Division Loss Firm Loss Support Entity Loss National Market Loss Global Market Loss 2. Kinds of Risk Business Risk Environmental, Societal, and Governmental Risk Financial Risk Market Risk Operational Risk Credit Risk Liquidity Risk Counterparty Risk Regulatory Risk Systemic Risk Other Definitions of Risk 3. Causes of Risk Prices Fat Tails Theft Hubris Greed and Ego Ignorance Wishful Thinking Lax Controls Wesons 4. Risk Mitigation Risk Warnings Protection 5. Organization of Risk 6. Regulatory Actions The Group of Thirty Basel I, II, and III Dodd-Frank Prudential Regulations 7. Issues of Risk Related Information in Other Books PART 3. Compliance Introduction 1. Types Regulatory Types Financial Types Operational Types Customer Types Contractual Types 2. Support and Organization Support Organization Related Information in Other Books PART 4. Regulation Introduction 1. Span of Regulation Entity Province or State National Regulation Transnational Regulation Commercial Codes 2. Regulatory Implementation Self-Regulation Governmental Regulation Hybrid Regulation 3. Regulatory Functions Entity or Function Trading Market Primary Market Enforcement Executive Body 4. Goals for Regulation Financial Responsibility Customer Protection Professionalism Transparency Conflicts of Interest Best Execution Competitive Parity Market Fairness National Market Defense/Protection 5. Geographic Regulation United Kingdom United States European Union Basel Committee on Banking Supervision Rest of the World 6. Types of Regulation Entity Markets Support Activities 7. Regulation Concepts Rules-Based Regulation Principles-Based Regulation Injunctions Functional Regulation 8. Regulation Issues Globalization Competition Systemic Risks Related Information in Other Books PART 5. Playing the Game Introduction The Context 1. Step 1 The Portfolio Manager Market Conditions Technology Process Things We Did Not Consider 2. Step 2 Buy-Side Trader Market Conditions Technology Process Things We Did Not Consider 3. Step 3 Sales Trader Market Conditions Technology The Process Things We Did Not Consider 4. Step 4 Trading Venues Market Conditions Technology Process Things We Did Not Consider 5. Step 5 Purchases and Sales, the Sales Trader, and the Buy-Side Trader Market Conditions Technology Process Things We Did Not Consider 6. Step 6 Portfolio Accounting Technology Process Things We Did Not Consider 7. Step 7 Participants Market Conditions Technology Process Things We Did Not Consider 8. Step 8 Participants Technology Process Things We Did Not Consider Related Information in Other Books Conclusion Book 1: An Introduction to Trading in the Financial Markets: Market Basics Book 2: An Introduction to Trading in the Financial Markets: Trading, Markets, Instruments, and Processes Book 3: An Introduction to Trading in the Financial Markets: Technology—Systems, Data, and Networks Glossary Index