Value - CSA Provision: Difference between revisions

===2016 changes===

Basically to add in the {{csaprov|FX Haircut Percentage}} into the multiplier, that being (in some jurisdictions) a fairly hefty surcharge for those people who like to collateralize in a currency other than the one in which their derivatives are denominated.

===="{{csaprov|Base Currency Equivalent}} of [[bid price]]"====

But even if a “price” isn’t necessarily a cash amount — to be sure, trading folk do talk that way sometimes, even if most sensible working folk don’t — the idea of the “{{csaprov|Base Currency Equivalent}}” of that price certainly turns it into one. You can’t exactly have “USD 86%”, can you? And if the {{csaprov|Eligible Credit Support}} includes [[collateral]] other than [[cash]] or [[Debt security|debt instrument]]s (e.g., [[equities]]), reference to a nominal amount multiplier is potentially confusing.