Loss - 1992 ISDA Provision: Difference between revisions

There ''looks'' to be a magnificent piece of ISDA discombobulation here: Section {{isdaprov|6(e)(i)}}(1) and (3), and {{isdaprov|6(e)(ii)}}(2)(A), all deal exclusively with ISDA master agreements where the parties have agreed {{isdaprov|Market Quotation}}, and not {{isdaprov|Loss}}, applies. So there is, in fact, ''no'' risk of duplication, since the definition of {{isdaprov|Loss}} is entirely irrelevant to these parts of the agreement. ... until you look at the definition of {{isdaprov|Settlement Amount}}, which defaults to {{isdaprov|Loss}} (note: but ''not counting {{isdaprov|Unpaid Amounts}}'' — it makes you weep doesn’t it) when, as most assuredly it will, {{isdaprov|Market Quotation}} turns out to be a totally impractical means of valuing a {{isdaprov|Terminated Transaction}}, since ''no-one will give you a price for a trade they can’t actually enter''.