Template:M summ 2016 CSA Settlement Day

The Settlement Day does not do much lifting in the 2016 VM CSA — the heavy lifting role has been largely usurped by the new Regular Settlement Day.

Which is mighty confusing, since the “Regular Settlement Day” in the new VM CSA is the same as the “Settlement Day” in the old one, but there is also a “Settlement Day” in the new CSA, which isn’t anything like the old one and is really only there for voluntary exchanges of already collateral under 3(c) — hardly a big deal since you’ll mainly be posting cash anyway — and distributions of interest and income under 5(c)(i).

ISDA’s crack drafting squad™ no doubt had its priorities and imperatives to achieve here — who doesn’t? — but they don’t seem to have had much to do with helping beleaguered doc-jocks understand what is going on.