Template:M summ 2018 CSD Local Business Day

How the business days work for demands under a Credit Support Annex

1. Valuation and demand: A 2018 English law IM CSD may demand a 2018 English law IM CSD (Para 2018 English law IM CSD) or a 2018 English law IM CSD Para 2018 English law IM CSD) “on or promptly following a 2018 English law IM CSD”.
2. Valuation Date: A “2018 English law IM CSD” means a day on which banks are open in at least one 2018 English law IM CSD for each party.
   1. Each party can specify however many 2018 English law IM CSDs it likes.
   2. Tip: the fewer you specifiy, the greater the chance none will be open on a given day, and you will be excused from a margin call, so don’t overdo it. One should be ample.
3. Settlement: Any 2018 English law IM CSD or 2018 English law IM CSD must be settled (Para 2018 English law IM CSD) by the close of business on the 2018 English law IM CSD relating to the date such demand is received (if received before the 2018 English law IM CSD (spoiler: usually 11 am, noon or 1pm)), or the 2018 English law IM CSD relating to the day after the date such demand is received (if received after the 2018 English law IM CSD).
4. Regular Settlement Day: A “2018 English law IM CSD” means the same 2018 English law IM CSD — careful: as defined in the 1995 CSA, not the ISDA Master Agreement — on which the demand is made.
5. Local Business Day: A “2018 English law IM CSD” (under the 1995 CSA) means, in the case of notices, a day on which banks are open in the address for the notice most recently specified by the Recipient. What if demand is made on a day that is not a 2018 English law IM CSD? Simple: by dint of Section 12 of the ISDA Master Agreement, the notice will be deemed given on the next Local Business Day (as defined in the ISDA Master Agreement, not the 1995 CSA).

Easy.