Template:EUA Annex Cost of Carry Amount: Difference between revisions
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::(i) in respect of an {{euaprov|Allowance Forward Transaction}}, the {{euaprov|Allowance Purchase Price}} multiplied by the {{euaprov|Number of Allowances}} delivered on or before the {{euaprov|Delayed Delivery Date}} following the occurrence of a {{euaprov|Suspension Event}}; or | ::(i) in respect of an {{euaprov|Allowance Forward Transaction}}, the {{euaprov|Allowance Purchase Price}} multiplied by the {{euaprov|Number of Allowances}} delivered on or before the {{euaprov|Delayed Delivery Date}} following the occurrence of a {{euaprov|Suspension Event}}; or | ||
::(ii) in respect of an {{euaprov|Allowance Option Transaction}}, the {{euaprov|Allowance Strike Price}} multiplied by the {{euaprov|Number of Allowances}} delivered on or before the {{euaprov|Delayed Delivery Date}} following the occurrence of a {{euaprov|Suspension Event}}; | ::(ii) in respect of an {{euaprov|Allowance Option Transaction}}, the {{euaprov|Allowance Strike Price}} multiplied by the {{euaprov|Number of Allowances}} delivered on or before the {{euaprov|Delayed Delivery Date}} following the occurrence of a {{euaprov|Suspension Event}}; | ||
:multiplied by: (c) the {{euaprov|Cost of Carry Delay}}, divided by 360. | :multiplied by: | ||
:(c) the {{euaprov|Cost of Carry Delay}}, divided by 360.<ref>Note: we have added in some line breaks which somewhat obscure that, since {{icds}} elected to express a mathematical proposition on its own tortured prose, it is not clear ''what'' is meant to be divided by 360: we think it makes most sense to dissolve the {{euaprov|Cost of Carry Delay}} only by 360, which gets you an annualised day count fraction that the rest of the sum can be multiplied by. But look, we could be wrong about that.</ref> | |||
Revision as of 14:59, 26 July 2022
Cost of Carry Amount: Means an amount in EUR equal to:
- (a) the Cost of Carry Rate multiplied by:
- (b)
- (i) in respect of an Allowance Forward Transaction, the Allowance Purchase Price multiplied by the Number of Allowances delivered on or before the Delayed Delivery Date following the occurrence of a Suspension Event; or
- (ii) in respect of an Allowance Option Transaction, the Allowance Strike Price multiplied by the Number of Allowances delivered on or before the Delayed Delivery Date following the occurrence of a Suspension Event;
- multiplied by:
- (c) the Cost of Carry Delay, divided by 360.[1]
- ↑ Note: we have added in some line breaks which somewhat obscure that, since ISDA’s crack drafting squad™ elected to express a mathematical proposition on its own tortured prose, it is not clear what is meant to be divided by 360: we think it makes most sense to dissolve the Cost of Carry Delay only by 360, which gets you an annualised day count fraction that the rest of the sum can be multiplied by. But look, we could be wrong about that.