Template:M summ 2002 ISDA Threshold Amount

A key feature of the Cross Default Event of Default in the ISDA Master Agreement. This is the level over which accumulated indebtedness defaults comprise an Event of Default. Because of the snowball effect that a cross default clause can have, it needs to be high. for a bank, typically 2 or 3% of shareholder equity or USD100,000,000 — for a fund an equivalent portion of NAV.