Template:Gmsla equivalence

Now here's a funny thing. In the 2000 GMSLA, there were four defined terms relating to the assets and collateral that pass between the parties to a stock loan, all of them nouns: "Securities", "Collateral", "Equivalent Securities" and "Equivalent Collateral".

Under the 2010 GMSLA, by contrast there are three; two nouns and an adjective "Securities", "Collateral" and "Equivalent".

The difference you ask? Well, it's a neat linguistic one:

In the earlier case - if you're anal - to capture the concept of an asset or collateral under the loan whichever way it presently happens to be travelling, you would need to say "Securities or Equivalent Securities, as the case may be".

In the 2010 model, you can capture the same concept by saying "Securities" - because "Equivalent" Securities is not a distinct concept, but a subset of the main concept.

So, chapeau to those clever people at Freshfields Bruckhaus Deringer.