ISDA®                

INTERNATIONAL SWAPS AND DERIVATIVES ASSOCIATION

NEWS RELEASE

 

For Immediate Release Tuesday, January 22, 2002

For More Information, Please Contact:

Stacy Carey, ISDA New York, (212) 332-1200; Fax (212) 332-1212; scarey@isda.org

 

ISDA AND FpML.org ANNOUNCE TRIAL RECOMMENDATION

FOR FpML VERSION 2.0 - REQUEST COMMENTS BY APRIL 30, 2002

 

NEW YORK, Tuesday, January 22, 2002 - The International Swaps and Derivatives Association (ISDA) and FpML.org today announced the FpML Standards Committee’s decision to publish a Trial Recommendation for Financial products Markup Language (FpML) Version 2.0, the XML-based, freely licensed, e-commerce standard supporting OTC trading of financial derivatives.

 

FpML Version 2.0 extends interest rate product coverage to include interest rate options such as swaptions, caps and floors, and extends the swap definition to include FX resetables, cancelables and early termination provisions. The Trial Recommendation period makes Version 2.0 available for review and implementation, allowing participants to provide feedback on the latest modifications.  Version 2.0 is considered stable by the Interest Rate Derivative Product Working Group and has been reviewed by the FpML Standards Committee. The working draft is posted at www.fpml.org/spec/index.html. ISDA requests comments by Tuesday April 30th, 2002 via fpml-issues@yahoogroups.com. 

 

The final step in the completion of development of Version 2.0 is endorsement as a Recommendation. Recommendation status reflects consensus within the FpML community, as represented by the FpML Standards Committee, that the ideas or technology specified in the version are appropriate for widespread deployment. The standard is not expected to move to a Recommendation until implementation feedback has been received. The FpML Standards Committee endorsed FpML version 1.0 as a Recommendation in May 2001. It covers interest rate swaps and forward rate agreements. Work is also progressing on FpML Version 3.0, which covers FX and Equity Derivatives.

 

FpML.org, a non-profit consortium comprised of leading global derivatives trading institutions, and financial, technology and consulting firms, is currently integrating its standards development process into ISDA based on a recent agreement between the two organizations.  Integration is expected to be completed at the end of January, 2002.

 

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