ISDA®
INTERNATIONAL
SWAPS AND DERIVATIVES ASSOCIATION, INC.
NEWS RELEASE
For Immediate Release, Tuesday, May 19, 2009
For More Information, Please Contact:
Cesaltine Gregorio, ISDA New
York, +1 212-901-6019, cgregorio@isda.org
Deirdre Leahy, ISDA New York,
+1 212-901-6021, dleahy@isda.org
Donna Chan, ISDA Hong Kong, +852 2200 5906, dchan@isda.org
The template enables users to hedge against losses from natural catastrophes or to gain exposure to new risk taking opportunities. The document applies to US wind events but can be used by counterparties globally.
"The
benefits of standardized documentation are well established and working with
our members to standardize documentation is one of ISDA's central goals,"
said Katherine Darras, General Counsel,
The ISDA US Wind Event Confirmation facilitates, among other things, increased pricing transparency and product liquidity to a rapidly increasing market as well as increasing certainty and reducing ambiguity around terms. The template provides standard definitions for key terms such as Risk Period, Extension Threshold, Termination Date and a menu of standardized choices for USA Wind Event. It is anticipated that the template will be utilized by insurance market participants, investors and corporate end users.
The Wind Event Swap Confirmation documentation is available at www.isda.org.
About ISDA
ISDA, which represents participants in the privately negotiated derivatives industry, is among the world’s largest global financial trade associations as measured by number of member firms. ISDA was chartered in 1985, and today has over 820 member institutions from 57 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.
®ISDA is a registered trademark of the International
Swaps and Derivatives Association, Inc.