As the derivatives market grows, OTC collateral agreement such as CSA (Credit Support Annex) is widely used to manage credit risks, however the efficiencies of CSA implementation may be compromised by the mismatches lied in the system records between the 2 parties. Portfolio reconciliation was established as a process to verify the accuracy of a firm’s trade population using live system data by comparing the two counterparty’s records of a bi-lateral OTC portfolio as of a given business date.
The industry would like to promote regular portfolio reconciliation in the Asia Pacific region. Under the auspice of ISDA Collateral Steering Committee, ISDA Asia Pacific Collateral Management Operations Working Group launched an initiative to draft a Memorandum of Understanding of Portfolio Reconciliation, the document is published on January 3, 2011. Firms with business in the Asia Pacific region are encouraged to adhere to the MoU.
Documents (3) for Asia Pacific Collateralized Portfolio Reconciliation Memorandum of Understanding (MoU)
Latest
Response to Voluntary Carbon Markets Consultation
On July 10, ISDA responded to the UK government’s consultation on voluntary carbon and nature markets. The UK should continue to play a leading role in promoting the consistent legal treatment of carbon credits internationally, with the development of global...
ISDA Response – ROC Consultation on Revised CDE Version 4
The International Swaps and Derivatives Association, Inc. (ISDA) response to the Regulatory Oversight Committee (ROC) consultation on the harmonisation of critical OTC derivatives data elements (CDE) revised CDE Technical Guidance – version 4, submitted to the ROC on January 24,...
ISDA response to ESMA MiFIR Review Consultation
On July 11, ISDA submitted a response to the European Securities and Markets Authority's (ESMA) fourth package of Level 2 consultation under the Markets in Financial Instruments Regulation Review (MiFIR), on transparency for derivatives, package orders and input/output data for...
Canadian Transaction Reporting Party Requirements
These Reporting Party Requirements establish the hierarchy and tie-breaker logic to determine a single reporting counterparty for Canadian provincial reporting. By leveraging the existing reporting party standard established for reporting to the CFTC, in most cases these rules facilitate submission...