Template:M summ 2002 ISDA Termination Currency: Difference between revisions

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Revision as of 11:06, 2 October 2023 (view source) Amwelladmin (talk \| contribs) (Created page with "Compare and contrast with the {{csaprov\|Base Currency}} in the {{tag\|CSA}}. Ideally, you’d want them to be the same. Ten points for style if you can think of a reason for having different ones. Goldman probably could. So what is this all about, then? Well, swap transactions by nature are likely to have different currencies — cross-currency swaps are, anyway — and if (heaven forfend) you should be closing out a whole portfolio of them, then you will have boil e...")		Latest revision as of 11:07, 2 October 2023 (view source) Amwelladmin (talk \| contribs) No edit summary
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	Compare and contrast with the {{csaprov\|Base Currency}} in the {{tag\|CSA}}. Ideally, you’d want them to be the same. Ten points for style if you can think of a reason for having different ones. [[Goldman]] probably could.		[[Termination Currency - ISDA Provision\|Compare]] and contrast with the {{csaprov\|Base Currency}} in the {{tag\|CSA}}. Ideally, you’d want them to be the same. Ten points for style if you can think of a reason for having different ones. [[Goldman]] probably could.

	So what is this all about, then? Well, swap transactions by nature are likely to have different currencies — cross-currency swaps are, anyway — and if (heaven forfend) you should be closing out a whole portfolio of them, then you will have boil everything down, at some point, to a single currency. Some are better than others — a G7 ones are more liquid and less volatile than others, and each counterparty will have a preference for its own home currency — an investment fund, the base currency of the fund.		So what is this all about, then? Well, swap transactions by nature are likely to have different currencies — cross-currency swaps are, anyway — and if (heaven forfend) you should be closing out a whole portfolio of them, then you will have boil everything down, at some point, to a single currency. Some are better than others — a G7 ones are more liquid and less volatile than others, and each counterparty will have a preference for its own home currency — an investment fund, the base currency of the fund.