FX Haircut Percentage - NY VM CSA Provision

2016 NY VM CSA Anatomy™ →Go uptown In a Nutshell™ Section 13(c)(v): Template:Nutshell 2016 NY CSA 13(c)(v) view template 2016 NY VM CSA full text of Section 13(c)(v): Template:ISDA New York Law Credit Support Annex 2016 13(c)(v) view template Related Agreements Click here for the text of Section 13(c)(v) in the 1994 New York law CSA Click here for the text of Section 11(c)(v) in the 1995 English Law CSA Click here for the text of Section 11(c)(v) in the 2016 English Law VM CSA Comparisons Template:2nycsadiff 13(c)(v) Template:Nycsadiff 13(c)(v) Template:Csadiff 11(c)(v) Resources Full wikitext | Nutshell wikitext Navigation 1 (Interpretation) | 2 (Security Interest) | 3 (Credit Support Obligations) | 4 ( Conditions Precedent, Transfer Timing, Calculations and Substitutions) | 5 (Dispute Resolution) | 6 (Holding and Using Posted Collateral (VM)) | 7 (Events of Default) | 8 (Certain Rights and Remedies) | 9 (Representations) | 10 (Expenses) | 11 (Miscellaneous) | 12 (Definitions) | 13 (Elections and Variables) Index: Click ᐅ to expand: 2016 NY VM CSA Tell me more Sign up for our newsletter — or just get in touch: for ½ a weekly 🍺 you get to consult JC. Ask about it here.

Differences between CSA versions

Template:Nycsa capsule 13(c)(v) A provision that assuredly goes into the I’m sorry I asked category. Relevant to the calculation of Value of a gentleman’s Credit Support Balance. An observation one might make here is that if you have a cash-only CSA and as long as you only accept the Major Currencies, then this entire Rube Goldberg provision is unnecessary: The Valuation Percentage will (most likely) be 100%, the FX Haircut Percentage will be zero, so the definition of value that these definitions feed into amounts to the following:

The amount (call it n) multiplied by the sum of 100% minus zero%, or

n * (100% - 0%), or

n * 100%, or

n.

Sigh.