​Daily Bulletin: Tuesday Nov. 11

Remembrance Day saw quiet markets for the most part, despite some significant call spread trading on the VIX. In the exchange-traded fund market, call buying was also seen on the WisdomTree Japan Hedged Equity ETF and the iShares MSCI Japan ETF, following a positive meeting between Japan’s Prime Minister Shinzo Abe and China Premier Xi Jinping, which could potentially thaw relations between the two countries. In Canada, we also focus on newly proposed changes to how the country’s pension funds invest in derivatives transactions. A 10% derivative counterparty could see some managers exit the over-the-counter derivative market if the guidelines become rules in Ontario, which is home to the majority of the country’s funds. In Europe, Credit Suisse says it is noticing increasing demand from investors in structured products linked to stocks whose companies demonstrate proven commitment to UN-backed principles around anti-corruption, the environment and human rights. Also in Europe, Goran Gusic, a single stock option trader at Citigroup in London, has left the firm.