Our banks should therefore ensure that their dealers are well-trained, that there are clear-cut controls on their operations, and that the activities are audited on a concurrent basis, at least in the initial stages. While the exchange has the responsibility to ensure against settlement risks, it is the institution concerned that must address the internal procedural issues.
Let us not forget that the scandals that affected such institutions as Barings and Société Générale, although related to derivatives, had their origin in a failure of the internal controls of the banks.