NEW YORK, Wednesday, March 31, 2010–The International Swaps and Derivatives Association, Inc. (ISDA) today announced the outcome of the annual process to determine members of ISDA’s five regional Determinations Committees, which together comprise the global decision-making structure around events in the CDS industry.
The Determinations Committees were established in March 2009, as a key element of the process by which CDS auction settlement was incorporated into standard ISDA CDS documentation. The Committees make binding determinations, such as whether a credit event has occurred, whether an auction will be held and what obligations are deliverable for purposes of the auction. There are five regional Committees, each comprising twelve dealer firms, of which two are consultative (non-voting) and six non-dealer (buy-side) members, of which one is consultative. The determinations are made in accordance with the criteria set out in the Determinations Committees Rules.
“The Determinations Committees have proven to be an important addition to the CDS market infrastructure and an effective mechanism for resolving a range of questions that impact the CDS industry,” said David Geen, General Counsel, ISDA. “In their first year of operation the Determinations Committees have resolved more than 50 questions raised by market participants. We would like to thank all the institutions involved for the time and resources they have dedicated to this important process.”
The firms which will serve on the Committees are set out below.
Global Voting Dealers (for all regions):
Bank of America / Merrill Lynch
Credit Suisse Deutsche Bank AG Goldman Sachs JPMorgan Chase Bank, N.A.
Global Consultative Dealer (for all regions):
Voting Non-Dealer (for all regions):
Citadel Investment Group, L.L.C.: effective April 2010 D.E. Shaw Group: effective April 2010 BlueMountain Capital: effective July 2010 Aviva Investors: effective July 2010 BlackRock, Inc.: effective November 2010
Americas Voting Dealers: Citibank, The Royal Bank of Scotland Americas Consultative Dealer: BNP Paribas
Europe Voting Dealers: The Royal Bank of Scotland, BNP Paribas
Europe Consultative Dealer: Citibank
Japan Voting Dealers:BNP Paribas, Mitsubishi UFJ Securities
Japan Consultative Dealer: Mizuho Securities
Asia Ex-Japan Voting Dealers: Citibank, The Royal Bank of Scotland
Asia Ex-Japan Consultative Dealer: BNP Paribas
Australia / New Zealand Voting Dealers: Citibank, Societe Generale
Australia / New Zealand Consultative Dealer: The Royal Bank of Scotland
Consultative Non-Dealer (for all regions):
Rabobank International (Cooperative Centrale Raiffeisen-Boerenleenbank B.A.): effective April 2010
The Determinations Committee rules and CDS documentation are available on ISDA’s website www.isda.org. A set of frequently asked questions and other information are also available there.
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.
ISDAis a registered trademark of the International Swaps & Derivatives Association, Inc.