BNP Paribas Global Equities and Commodity Derivatives (GECD) was selected by Crédit Agricole CIB to ensure the administrative management of its equity derivatives portfolio which is being discontinued.
This transaction is unique in the equity derivatives’ business because of its size and sophistication. Within this framework, Crédit Agricole CIB, will completely transfer the market risks linked to its positions to BNP Paribas GECD which will manage the hedge. It will also transfer the administrative and operational management of a EUR 12.5 billion portfolio of notional to BNP Paribas GECD which will from January 2014 ensure the continuity of service for the holders of these products (secondary market, valuations,
reporting, client relationship, etc.).
Yann Gérardin, Global Head of BNP Paribas GECD, commented: “We are proud to have been chosen by Crédit Agricole CIB for this transaction. It demonstrates the quality of our infrastructure in the equity derivatives business and the efficiency of our teams. BNP Paribas GECD will bring all its know-how to meet the new needs linked to changes in the industry.”
“The smooth management of the closure of our equity and fund derivatives activity is
essential for Crédit Agricole CIB. After a competitive selection process which lasted several months, we have decided to select BNP Paribas to conduct by our side, in the environment that appeared the most favourable for us, this significant and imposing run-off project”, explains Régis Monfront, Deputy CEO of Crédit Agricole CIB.