Failure to Pay, DUST and Cross Default under the ISDA: Difference between revisions
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Amwelladmin (talk | contribs) (Created page with "For those who think it is useful to understand the interaction between {{isdaprov|Failure to Pay}}, {{isdaprov|DUST}} and {{isdaprov|Cross Default}}. *'''{{isdaprov|FTP}}'''...") |
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Revision as of 12:36, 10 August 2017
For those who think it is useful to understand the interaction between Failure to Pay, DUST and Cross Default.
- FTP covers payment under delivery defaults directly under the ISDA Master Agreement
- DUST covers trades under other master trading agreements (and distinct ISDA Master Agreements — unlikely, but not impossible) between the same two parties
- Cross Default covers Specified Indebtedness (unless you’re odd, that means borrowed money) between the counterparty and any third party.