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The ISDA Schedule does contain an election for {{isdaprov|Calculation Agent}} but, curiously, the term isn’t otherwised defined or used in either version of the {{isdama}}. | The ISDA Schedule does contain an election for {{isdaprov|Calculation Agent}} but, curiously, the term isn’t otherwised defined or used in either version of the {{isdama}}. The parties may spend a great deal of fruitless energy in haggling, at {{isdaprov|Part 4(e)}} of the {{isdaprov|Schedule}}, about who should be the {{isdaprov|Calculation Agent}}, and what rights the other poor sap should have to challenge its determinations. How strongly each feels about this will depend on the sort of products they’re expecting to trade: [[FX]] and simple [[equity derivative|equity derivatives]] have a deep, liquid, observable markets, and as there’s little scope for picking a fight, a broker {{isdaprov|Calculation Agent}} may not be bothered about ceding rights to dispute its calculations. Expect a different reaction should you seek to second-guess your [[dealer]]’s marks on exotic [[credit derivative|credit derivatives]], on the other hand. These rely enormously on the dealer’s internal models, pricing curves and other kinds of idiosyncratic financial [[bullshit|alchemy]] that are almost certainly unique to the [[dealer]] in question. | ||
The term is defined separately in each definition booklet: | The term is defined separately in each definition booklet: |