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05 June 2019

ISDA: Trade life cycle events guide for non-cleared margin


The Trade Life Cycle Events Guide for Non-Cleared Margin was initially established and agreed by market participants through a series of discussions held within the ISDA WGMR Margin and Collateral Processing and Portfolio Integrity Workstreams in 2016.

ISDA working groups developed the Trade Life Cycle Events Guide for Non-Cleared Margin in 2016 in order to assist market participants preparing for non-cleared margin requirements by providing a uniform global approach to the treatment of life cycle events to legacy transactions based on the guidance in the BCBS and IOSCO framework for margin requirements for non-centrally cleared derivatives that genuine amendments to existing derivatives contracts do not qualify as a new derivatives contract.

The working group both identified and agreed the list of trade events as well as agreed to the general consensus captured in the below matrix as to whether or not these identified trade events would bring a legacy non cleared swap transaction into scope for the new margin rules. The intention of this list is to provide an agreed market guide for firms to utilize in order to comply with certain aspects of the non cleared margin rules within their respective jurisdictions.

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© ISDA - International Swaps and Derivatives Association


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