As I re-assume the ISDA CEO role, let me first express my appreciation to Connie Voldstad for his two years of service to ISDA. He was very astute at understanding the many strengths of the organization while also identifying ways to make it even stronger. Where he could effect positive change, he did.  I very much enjoyed working with Connie and our members and our markets benefitted from his time here.

ISDA’s focus in the coming year or so will cover three broad areas, specifically, regulatory developments, infrastructure improvements and new opportunities and markets.

Regulations are a constant variable, if the reader will permit such an oxymoron. We know that we face significant regulatory developments in the coming year, but there is still an incredibly high degree of uncertainty about how those developments will shake out. We will remain actively engaged in policy issues wherever our members are focused. While that primarily includes the U.S. and Europe, we will also engage with policy makers in other parts of the world.  ISDA has a unique expertise that we will use to inform policy debates, whether they involve implementing the G20 commitments or addressing netting issues.

The industry, even in the face of uncertainty about regulatory outcomes, is pushing forward to increase the safety and efficiency of our markets. Some of this is driven by commitments to regulators or in anticipation of new regulations. But much is driven by the need to increase efficiency in an increasingly competitive world. By delivering across our areas of expertise, ISDA will work to remain at the center of those developments, working side-by-side with our members and regulators.

The agenda for developed products and markets is incredibly full, sometimes overwhelmingly so. But if we were to divert our attention and resources entirely to those efforts, we might miss a promising opportunity or development. And so we will remain engaged in new markets and monitor developments in new products. In the early part of this year, I plan to travel to Latin America and to Vietnam to discuss how derivatives usage can be encouraged in those markets.  Many of my ISDA colleagues will be reaching out to other areas as well.

As we move forward in 2012, I am extremely pleased to have George Handjinicolaou once again serving as my Deputy CEO. George’s experiences in the past couple of years — he saw the developing situation in his native Greece firsthand – make him a valuable partner for me and a valuable resource for ISDA. I am looking forward to sharing this derivatiViews forum with him in the future.

All the best to our readers for 2012.  We appreciate the active engagement and support of our members, guided by the involvement and leadership of our Board and staff.

We look forward to hearing from you.