ISDA®
INTERNATIONAL SWAPS AND DERIVATIVES
ASSOCIATION, INC.
NEWS
RELEASE
For Immediate Release, Tuesday, September 23, 2008
For More
Information, Please Contact:
Louise
Marshall, ISDA New York, 212-901-6014, lmarshall@isda.org
Cesaltine
Gregorio, ISDA New York, 212-901-6019, cgregorio@isda.org
ISDA
COMMENTS ON CHAIRMAN COX'S TESTIMONY
TO
THE SENATE BANKING COMMITTEE
NEW YORK, Tuesday, September 23,
2008 – The International Swaps and
Derivatives Association, Inc. (ISDA) today made the following comment on SEC
Chairman Christopher Cox's testimony to the Senate Banking Committee:
"During the current market volatility
the credit derivatives market has performed very well. It has allowed
companies and investors to manage their risks in a time of higher than usual
rates of default, and the credit events that have occurred thus far are being
settled in an orderly fashion. Credit derivatives market participants are
the first to encourage the SEC to use its authority to ensure attempted
manipulation of these markets is punished. However proposals which would
seek to treat privately negotiated contracts as securities, or otherwise apply
ill-fitting regulatory regimes to these agreements, are likely to deter healthy
economic activity and push derivatives into markets where the SEC has no
jurisdiction," said Robert Pickel, Executive Director and Chief Executive
Officer, ISDA.
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 approximately 850
member institutions from 56 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
& Derivatives Association, Inc.