Template:Nutshell Equity Derivatives 12.9(b)(vi): Difference between revisions
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Amwelladmin (talk | contribs) Created page with "{{eqderivprov|12.9(b)(vi)}} If “{{eqderivprov|Increased Cost of Hedging}}” applies and it occurs, the {{eqderivprov|Hedging Party}} will so notify the {{eqderivprov|Non-He..." |
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{{eqderivprov|12.9(b)(vi)}} If “{{eqderivprov|Increased Cost of Hedging}}” applies and it occurs, the {{eqderivprov|Hedging Party}} will so notify the {{eqderivprov|Non-Hedging Party}} and that it will make a {{eqderivprov|Price Adjustment}}. Within 2 {{eqderivprov|Scheduled Trading Days}} the {{eqderivprov|Non-Hedging Party}} must elect to the {{eqderivprov|Hedging Party}} either to: | {{eqderivprov|12.9(b)(vi)}} If “'''{{eqderivprov|Increased Cost of Hedging}}'''” applies and it occurs, the {{eqderivprov|Hedging Party}} will so notify the {{eqderivprov|Non-Hedging Party}} and that it will make a {{eqderivprov|Price Adjustment}}. Within 2 {{eqderivprov|Scheduled Trading Days}} the {{eqderivprov|Non-Hedging Party}} must elect to the {{eqderivprov|Hedging Party}} either to: | ||
:(A) amend the Transaction to cater for the {{eqderivprov|Price Adjustment}}, | :(A) amend the Transaction to cater for the {{eqderivprov|Price Adjustment}}, | ||
:(B) pay the {{eqderivprov|Hedging Party}} the {{eqderivprov|Price Adjustment}} or | :(B) pay the {{eqderivprov|Hedging Party}} the {{eqderivprov|Price Adjustment}} or | ||
:(C) terminate the {{eqderivprov|Transaction}} as of that second {{eqderivprov|Scheduled Trading Day}}. Absent such an election the Hedging Party may terminate the {{eqderivprov|Transaction}}. On any termination of the {{eqderivprov|Transaction}}, the {{eqderivprov|Determining Party}} will determine the {{eqderivprov|Cancellation Amount}}. <br> | :(C) terminate the {{eqderivprov|Transaction}} as of that second {{eqderivprov|Scheduled Trading Day}}. Absent such an election the Hedging Party may terminate the {{eqderivprov|Transaction}}. On any termination of the {{eqderivprov|Transaction}}, the {{eqderivprov|Determining Party}} will determine the {{eqderivprov|Cancellation Amount}}. <br> | ||
Revision as of 08:46, 7 April 2017
12.9(b)(vi) If “Increased Cost of Hedging” applies and it occurs, the Hedging Party will so notify the Non-Hedging Party and that it will make a Price Adjustment. Within 2 Scheduled Trading Days the Non-Hedging Party must elect to the Hedging Party either to:
- (A) amend the Transaction to cater for the Price Adjustment,
- (B) pay the Hedging Party the Price Adjustment or
- (C) terminate the Transaction as of that second Scheduled Trading Day. Absent such an election the Hedging Party may terminate the Transaction. On any termination of the Transaction, the Determining Party will determine the Cancellation Amount.