Index Swap Transaction - Equity Derivatives Provision

Template:Eqderivsnap An Equity Swap Transaction (as opposed to a Forward Transaction or an Option Transaction, referencing a single (as opposed to a Basket) Index (as opposed to a Share). This taxonomy involves a bit of multidimensional chess — all in the name of documentational simplicity, of course. “Underlier”?: There isn’t a generic catch-all term for the underlier of an Equity Derivatives Transaction. This is a pity, since “Index, Share or Basket as the case may be” isn’t the most elegant expression in the annals of legal literature. You might have used “Instrument” or even “Underlier” might do.

“Underlier” is a JC-spawned confection, and we do use it from time to time, when our patience with ISDA’s crack drafting squad™ and its leaden drafting becomes as shiny, thin and translucent as the seat of an old pair of suit trousers.