Continued, a derivatives education

On 7th June 2013 ISDA published the 2013 Standard Credit Support Annex (“SCSA”) for English and New York law forms.

The SCSA removes the option in the existing CSAs for parties to transfer collateral in the form of cash in various currencies or agreed securities or substitute that collateral with consent (a normal requirement of the English Law CSA). Normally collateral givers would provide cheapest to deliver collateral to their counterparties. This, of course, contributed to a mismatch between the derivative’s funding currency and the currency of the cash collateral.

http://en.wikipedia.org/wiki/Credit_Support_Annex

http://en.wikipedia.org/wiki/ISDA_Master_Agreement

http://en.wikipedia.org/wiki/Master_service_agreements

http://www.esma.europa.eu/system/files/02_185AnnxM.pdf

http://www.cftc.gov/ucm/groups/public/@swaps/documents/dfsubmission/dfsubmission21_110910-naic6.pdf

Derivative Instruments--Page 5A

http://www.isda.org/c_and_a/equity_der.html

http://swapdoc.com/?p=466

http://www2.isda.org/search?headerSearch=1&keyword=confirmations

Who Knew?

http://en.wikipedia.org/wiki/FpML

http://www.mondaq.com/unitedstates/x/188384/Commodities+Derivatives+Stock+Exchanges/ABCs+Of+CrossBorder+Derivatives