Template:M comp disc 2002 ISDA 5(a)(v): Difference between revisions

Template:M comp disc 2002 ISDA 5(a)(v) (view source)

990 bytes removed , 24 September 2020

no edit summary

83,228

edits

@@ Line 1: / Line 1: @@
-Two key differences between the {{1992ma}} {{isda92prov|DUST}} and the {{2002ma}} {{isdaprov|DUST}}: The {{2002ma}} version is updated:
+{{isda 5(a)(v) comm|isdaprov}}
-*'''[[mini-closeout]] carveout''': to exclude “defaults” which qualify as mini closeouts under stock loan documentation — a concept which the stock loan market invented after the {{1992ma}} was published, so you can’t really blame {{icds}} for overlooking it at first — as these tend to arise from normal market settlement failures and are not credit-driven, and
-*'''[[Repudiation]] evidence''': to stiffen the criteria for something to count as a repudiation so as to require [[In writing|written evidence]] from the repudiating party of its [[extended middle finger]]. The latter of these really more am articulation of common sense, for it would be a brave risk officer indeed who closed out an {{isdama}} based on an oral communication, or the [[proverbial extended middle finger]], for which she could not subsequently produce in fairly compelling evidence. But still.
 The [[mini closeout]] point, as we discuss in the commentary below, is technically correct but should have led to a ''simplification'' of the DUST provision, rather than a ''convolution'' of it. I know what you’re thinking, and you’re right: like ''that'' was ever going to happen.