The Post-Reform Guide to Derivatives and Futures -- Contents -- Preface -- Acknowledgments -- Introduction -- PART ONE The Crises That Led to Derivatives Reform -- CHAPTER 1 Seven Causes of the 2008 Market Crises -- Ignoring the Warning Signs -- More than Seven Causes of the 2008 Market Crises -- An Incomplete Response to Problems Exposed in the Enron Bankruptcy -- Enron Finance Used by Banks and the Lack of Regulation -- The Absence of Effective Regulation -- The Shadow Banking System -- Development of an Unregulated Global Derivatives Market -- The Rise of Credit Derivatives and the Credit Default Swap -- Private-Label Residential Mortgage-Backed Securitization -- U.S. Policy Fostering Home Ownership and GSE Mismanagement -- Derivatives and Structured Products Accounting Practices -- Notes -- CHAPTER 2 The Crises and Reform Timeline -- March 17, 2008: Bear Stearns Is Sold -- March 27, 2008: Barack Obama Introduces Reform Principles -- September 15, 2008: A Bankrupt Lehman Brothers -- November 2008 to January 2009: American Leadership Ascends -- March 26, 2009: Geithner Provides Testimony to Congress on Reform -- May 13, 2009: Geithner Writes a Letter to Harry Reid -- June 2, 2009: An Early Voice Speaks Out against the Clearing Mandate -- June 22, 2009: American Corporations Lobby against Central Clearing Mandates for OTC Derivatives -- July 22, 2009: Introduction of Legislation Favoring Exemptions to the Clearing Mandate -- July 30, 2009: Introduction of Broad Outlines of the New Law -- September 8, 2009: The Industry Demonstrates Commitment to Centralized Clearing -- October 2, 2009: House Releases Draft of OTC Derivative Legislation -- November 11, 2009: Senate Releases Draft of OTC Derivative Legislation -- December 11, 2009: House Passes the Wall Street Reform and Consumer Protection Act of 2009.

January 1, 2010: The New York Fed Publishes The Policy Perspectives on OTC Derivatives Market Structure -- April 7, 2010: Financial Crisis Inquiry Commission Begins Hearings -- April 16, 2010: Senator Lincoln Introduces the Wall Street Transparency and Accountability Act of 2010 -- April 22, 2010: President Obama Returns to Cooper Union to Speak on Reform -- April 26 to 27, 2010: Senate Votes to Delay Debate on Derivatives Reform -- April 27, 2010: The Goldman Hearing -- April 28, 2010: Senate Votes Again to Proceed with Financial Services Reform -- May 20, 2010: Senate Passes Its Version of the Legislation -- June 30, 2010 and July 15, 2010: Congress Approves Legislation and Seeks the President's Approval -- July 21, 2010: President Obama Signs Dodd-Frank into Law -- U.S. Rule Making in 2010 and 2011 -- U.S. Reform Blazes the Trail for Global Derivatives Reform -- Notes -- PART TWO Derivatives Reform -- Introduction to Part Two -- CHAPTER 3 Introduction to Futures, Margin, and Central Clearing -- Three Crises and the Need for the Futures Model -- A Brief History of Futures Contracts and Markets -- The Commodity Futures Modernization Act of 2000 -- Introduction to the Futures Model and Basic Futures Concepts -- Regulation of Futures -- A Futures Contract in Action -- Default by a Clearing Member in the Futures Model -- Global Reform and the Futures Model -- Notes -- CHAPTER 4 U.S. Derivatives Law in Title VII of Dodd-Frank -- Organization of Dodd-Frank -- Introduction to Titles VII and VIII -- The Approach to Understanding New Derivatives Law in the United States -- Products -- People -- Taxpayers -- Whistleblowers -- Platforms -- Notes -- CHAPTER 5 Title VIII of Dodd-Frank -- Opposition to Title VIII -- Before Title VIII -- What Exactly Does Title VIII Set into Motion and When? -- What Is a Systemically Important Activity?.

Practical Results of the New Law -- Notes -- CHAPTER 6 A Primer on Legal Documentation -- Background -- "Let's Use an ISDA" -- History of the ISDA -- Basic OTC Architecture -- The ISDA Documentation in Practice, and Problems in 2008 -- Glossary -- Notes -- CHAPTER 7 The Life Cycle of a Cleared Derivatives Trade -- Step One: Legal Documentation -- Step Two: Trade Execution via an SEF, SB-SEF, or DCM -- Step Three: Alleging and Affirming a Trade -- Reporting in Real Time -- Step Four: The FCM Take-Up -- Step Five: Trade Is Centrally Cleared -- Step Six: The Trade Is Reported for the Second Time -- Notes -- PART THREE Trading Before and After Reform -- CHAPTER 8 The History of Derivatives and Futures -- The Earliest Derivative -- Trees, Forests, and Wildfires -- Did They Exist in Antiquity? -- OTC and Exchange Derivatives -- Back to Biblical Times -- The Dark Ages and Medieval Europe -- The Muslim Empire -- Development and Early Use of the Bill of Trade or Exchange -- After the Protestant Reformation -- An Early Sighting of the Term Commodity Pools -- Ten Wise Men -- The Modern Era Begins in the States in 1848 -- Early-Twentieth-Century America -- 1907 Bankers Panic -- S&Ls and Mortgage Finance Functions Well Before Abuses -- The Creation of Fannie and Freddie -- Disco, Dealers, Swaps, and Redlining in the 1970s -- U.S. Regulators Formally Recognize Swaps -- The Birth of the OTC Market -- The Evolution of Options Markets -- The Futures Trading and Practices Act and the 1993 Swaps Exemption -- ISDA -- The 1987 Crash and 1990s Crises -- The Commodity Futures Modernization Act of 2000 -- Enron Loophole -- The First Decade of the Twenty-First Century -- Notes -- CHAPTER 9 Market Structure Before and After 2010 -- Ancient Commodity Markets -- Earliest Modern Exchanges -- The Great Depression and Bucket Shops -- Open Outcry and Pits Give Way to the Machines.

Reform of U.S. Market Structure -- Derivative Clearing Organizations (DCOs) -- Swap Data Repository -- Market Participants in the OTC Derivatives Trade -- Notes -- PART FOUR Continuing Education -- CHAPTER 10 Survey of Derivatives -- Overview of the Strategies and Trade Structure -- Early Derivatives and the Beginnings of the OTC Market -- Forwards versus Options -- Option Basics -- Options Pricing -- Basic Option Strategies -- Exchange-Traded Options -- Swaps Follow Options in the Evolution of Derivatives -- Credit Derivatives -- Credit-Linked Notes and Other Securities -- Total Return Swaps -- Interest Rate Swaps -- Equity Swaps -- Currency Derivatives -- Property Derivatives -- Commodity Derivatives -- Energy Swaps -- Structured Products, Securitization, CDOs, and CDOs Squared -- Exchange-Traded Derivatives: Futures and Other Listed Products -- Additional Resources -- Online Resources -- Glossaries -- Notes -- About the Author -- Index.