The 2021 ISDA Interest Rate Derivatives Definitions will replace the 2006 ISDA Definitions as the standard definitional book for cleared and non-cleared interest rate derivatives. ISDA finalized the new definitions on May 18, 2021, ahead of publication on a new web-based user platform (expected on June 4, 2021). An implementation date has been set for the weekend of October 2/3, 2021.
Since the 2006 ISDA Definitions were published 15 years ago, there have been numerous changes in market structure, regulations, technology and market practice. Important lessons have also been learned from various unscheduled market closures. While ISDA has published over 70 supplements to keep the 2006 ISDA Definitions current, this has led to the definitional booklet becoming unwieldy and difficult to use. The 2021 Definitions will consolidate these supplements into the main book, as well as making other necessary updates.
ISDA has published a new factsheet outlining the key changes.
Click on the PDF below to read the factsheet.
Documents (1) for Introduction to the 2021 ISDA Interest Rate Derivatives Definitions
Latest
Expanding Legal Agreement Coverage in the CDM
This paper examines the recent extension of the Common Domain Model (CDM)1 to represent two of the most significant, and previously undeveloped, areas of its legal agreement model: umbrella agreements and contract amendments. Umbrella agreements are widely used to document...
ISDA Omnibus Canadian Representation Letter
On September 2, ISDA published the Omnibus Canadian Representation Letter, which combines previously published representation letters drafted to assist firms in compliance with Canadian trade reporting, business conduct, regulatory margin and clearing classification rules. The Omnibus Canadian Letter is designed...
Joint Response on Cross-margining
On August 31, ISDA and FIA submitted a letter to the US Commodity Futures and Trading Commission (CFTC) and the Securities and Exchange Commission (SEC) on the agencies’ joint request for comment on the implementation of portfolio margining and cross-margining...
Accounting for Carbon Credits: Latest Developments
This paper updates and extends the analysis set out in ISDA’s October 2023 paper on accounting for carbon credits. While preserving the original focus on the accounting treatment of voluntary carbon credits (VCCs) and compliance carbon credits (CCCs), it expands...