Derivatives continue to be both vital and perplexing financial instruments utilized by a number of alternative investment managers, including hedge fund managers, as part of their investment strategies. Historically, the sell-side of the derivatives industry has dominated in representing the development and execution of derivatives contracts. MFA is actively involved in representing the buy-side:

• MFA continues its participation in the DTCC Senior Operations Group with major derivatives dealers (the “Fed 18”) to improve market practices in credit derivatives and equity derivatives. MFA representatives are members of the Oversight Management Group (formerly known as Senior Oversight Group) which created the central trade information warehouse for credit derivatives.
• MFA is taking an active role in various International Swaps and Derivatives Association (ISDA) working groups on the development of standardized documentation.
• MFA worked with major industry participants to help create a “steady state” in credit derivatives market practices.