Calculation Amount - ISDA Definition

2006 ISDA Definitions A Jolly Contrarian owner’s manual™ Go premium Overview — Summary — Premium — See also — Wikitext Crosscheck: →Calculation Amount in the 2006 ISDA definitions →Calculation Amount in the 2021 ISDA definitions Calculation Amount in a Nutshell™ The JC’s Nutshell™ summary of this term has moved uptown to the subscription-only ninja tier. For the cost of ½ a weekly 🍺 you can get it here. Sign up at Substack. Original text: Section 4.8. Calculation Amount. “Calculation Amount” means, in respect of a Swap Transaction and a party, the applicable Notional Amount or Currency Amount, as the case may be. Template:M comp DI Resources and Navigation Template:Res DI

Overview

The 2006 ISDA Definitions treat each of the three definitions (Calculation Amount, Notional Amount and Currency Amount) as discrete things — albeit in successive paragraphs — while the 2021 ISDA Interest Rate Derivatives Definitions see them for what they are — subspecies of Calculation Amount — and roll them into a single paragraph.

Summary

Just imagine being the poor Aïessdiyé padawan tasked with redrafting a perfectly harmless — if faintly pointless — piece of orienting. Perhaps she felt honour-bound to convert it into a tract of overdetermined dreck. We will never know.

All it really achieves is, well, there’s this thing, and it might be a Notional Amount and it might be a Currency Amount, but either way, it’s a Calculation Amount. We think the 2006 version was nicer.

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