Swap history: Difference between revisions

Contracts containing walkaway clauses will not be eligible for netting for the purpose of calculating capital requirements pursuant to this Accord. A walkaway clause is a provision which permits a non-defaulting counterparty to make only limited payments, or no payment at all, to the estate of a defaulter, even if the defaulter is a net creditor.<ref>Basel Capital Accord: ''Treatment of potential exposure for off-balance-sheet items'', April 1995, https://www.bis.org/publ/bcbs18.pdf</ref>}}}}The sacred prehistory of “the one agreement to rule them all” — the [[Single Agreement]]; known these days as the {{isdama}} — predates even the [[First Men]] and, yea, even before them, to the black dawn of prehistory when free cash flows were first discovered in the wild and artificially set against each other for pleasing effect by the [[Children of the Forest]]. Swaps were even mentioned in passing in the Old Testament: