The International Swaps and Derivatives Association has published a set of recommended common principles to guide documentation for “give-up agreements across central counterparties or clearing houses”.
Isda said the principles demonstrated its commitment to “enhancing processing” of over-the-counter derivatives – work which Robert Pickel, outgoing Isda executive director and CEO (see separate story), said was not being recognised by US policy makers.
The principles were derived from a series of meetings with representatives of prospective customers, dealers and clearing houses. Isda said the principles were intended to facilitate negotiation of relevant agreements in the context of different clearing platforms.
The association said that as a result of its discussions, it had recommended a series of fallbacks in the event of an OTC contract...