Registration and Continental Breakfast

Introduction and Welcoming Remarks
Kirsty Devonport, Assistant General Counsel, ISDA

Collateral as a Credit Risk Mitigation Tool
This session will examine the nature of credit risk arising from an OTC derivatives transaction and the manner in which collateral may be used to mitigate that risk. Different approaches to the use of collateral and associated benefits will also be explored.
James Duff, European Head of OTC and Repo Margin, UBS

Overview of the English Law ISDA Credit Support Documents
Kirsty Devonport, Assistant General Counsel, ISDA
Emma Dwyer, Senior Associate, Allen & Overy LLP
Tom Roberts, Associate, Allen & Overy LLP

Understanding the ISDA English Law Credit Support Documents
ISDA publishes two forms of Credit Support Document for use under English law, the 1995 ISDA Credit Support Annex (Bilateral Form - Transfer) and the 1995 ISDA Credit Support Deed (Bilateral Form - Security). The ISDA Credit Support Annex forms part of the Schedule to the ISDA Master Agreement and creates a title transfer financial collateral arrangement, under which cash collateral is deposited with and readily marketable securities are transferred to the collateral taker. The ISDA Credit Support Deed is a stand-alone security agreement that refers to the ISDA Master Agreement and creates a security financial collateral arrangement, under which cash collateral is deposited with and readily marketable securities are transferred to the collateral taker, subject in each case to a security interest in favour of the collateral taker. The two forms will be reviewed in parallel during this and the subsequent two sessions, comparing and contrasting the principal provisions of each. The first session will focus on the general legal principles underlying each form, explain the advantages and disadvantages of each approach and will deal with special issues arising in relation to the delivery of intermediated securities as collateral.

Morning Break

Understanding the ISDA English Law Credit Support Documents (continued)
Discussion of the two English law forms continues, reviewing the two forms provision-by-provision, describing the mark-to-market mechanics of collateral calls and returns (including the application of threshold, independent amounts, minimum transfer amounts and rounding), conditions precedent, substitutions/exchanges and dispute resolution (including an update on the status of the new dispute resolution procedure industry commitment).

Understanding the ISDA English Law Credit Support Documents (continued)
The final session on the two English law forms will deal with holding and usage of collateral, events of default and enforcement by the collateral taker. It will also consider the factors to take into account when deciding which form to use and will deal with additional matters such as amendments necessary to use either form with a 2002 ISDA Master Agreement and the collateral opinions ISDA has collected from over 40 jurisdictions.

Luncheon

Update on Industry Initiatives
The following two sessions will review continuing challenges in the collateral process as well as the changing financial landscape and realized impact on collateral management.

Market Practice Reviews
This session will discuss the issues and recommendations arising out of the ISDA Market Review of OTC Derivative Bilateral Collateralization Practices and Independent Amount Whitepaper. The session will also give the background to and introduce the new dispute resolution procedure.
Jonty Knight, Associate, Allen & Overy LLP

Current Issues in Collateral Management
This session will cover expanding proactive portfolio reconciliations and development of workflow communication through data standardization/ automation via electronic messaging.
Sebastian Gehlfuss, Vice President, Deutsche Bank

Afternoon Break

James Duff, European Head of OTC and Repo Margin, UBS

Collateral Arrangements under New York Law in comparison to English Law Arrangements
This session will address forms of ISDA’s Credit Support Annex that are governed by laws of other jurisdictions. A special emphasis will be given to the forms governed by New York law.
Richard Hart, Associate, Freshfields Bruckhaus Deringer

Agenda is subject to change

Please click here for the Conference Registration Form.

You may also be interested in other conferences in London this week:
2010 ISDA Regional Conference, September 21st, click here for the agenda.
Fundamentals of Derivatives Seminar, September 22nd, click here for agenda.
Understanding the ISDA Master Agreements Conference, September 23rd, click here for agenda.

CONFERENCE VENUE: Allen & Overy, One Bishops Square, London, E1 6AD. Phone: +44 20 3088 3550.

To obtain more information, please contact the ISDA conference department at +1 212-901-6000 or
e-mail CONFERENCES@ISDA.ORG

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