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ISDA® INTERNATIONAL SWAPS AND DERIVATIVES ASSOCIATION NEWS
RELEASE For Immediate Release
Thursday, April 10, 2003 For More Information,
Please Contact: Or ISDA RELEASES
FpML VERSION 4.0 WORKING DRAFT;
ANNOUNCES FpML
EDITOR/VIEWER TOOL
“With
the addition of Credit Derivatives and Equity Derivatives, the main asset
classes are now covered in FpML,” said In addition to interest rate derivatives and FX
derivatives, which have been defined in earlier versions of the standard,
FpML Version 4.0 covers equity derivatives, including equity swaps, and
credit derivatives. The work on credit derivatives is very closely linked
with the ISDA 2003 Credit Derivatives Definitions, which define the credit
default swap. On a technical level, version 4.0 is the first schema based
version. It is also the first version that puts a messaging framework around
the product descriptions to specify their context and use. Future work on
FpML will include the specifications for energy derivatives and the results
of the validation working group. The Working Draft is a work in progress with
a commitment from ISDA to pursue work in this direction. The full text of the
Working Draft is available at: http://www.fpml.org At the AGM ISDA also demonstrated a beta version of the FpML editor/viewer. The tool, which allows users to view an FpML trade, edit and change elements of the trade, or create a new trade in FpML format, is one of the possible applications of FpML. ISDA decided to develop the tool in order to make FpML more accessible. The FpML editor/viewer is expected to be made available to ISDA members and non-members in June. FpML is a business
information exchange standard for electronic dealing and processing of
financial derivatives instruments. It establishes the industry protocol for
sharing information on, and dealing in, financial swaps, derivatives and
structured products over the Internet. It is based on XML (Extensible Markup
Language), the standard meta-language for describing data shared between
applications. FpML will eventually cover all categories of privately
negotiated derivatives. Information about the FpML standard, the
specifications and the different working groups can be found on the FpML web
site: www.fpml.org. ISDA is the global trade
association representing leading participants in the privately negotiated derivatives
industry. ISDA was chartered in 1985, and today has more than 600 member institutions from 46 countries on six
continents. These members include most of the world's major
institutions that deal in privately negotiated derivatives, as well as many
of the businesses, governmental entities and other end users that rely on
over-the-counter derivatives to manage efficiently the financial market risks
inherent in their core economic activities.
Information about ISDA and its activities is available on the
Association's web site: www.isda.org. ### |