On July 20, ISDA responded to a consultation paper from the Clearing Corporation of India Ltd (CCIL) on a proposal to introduce stress loss margin (SLM).
ISDA members are supportive of the introduction of SLM for the derivatives segment as it collects higher margins from members, driving stress losses beyond a certain limit, and reduces loss mutualization among members by limiting their default fund requirements, moving towards a defaulter pay model. This is a positive development aligning CCIL’s risk management practices with that of global CCPs such as LCH and Eurex.
ISDA also highlights some suggestions to help members adapt to the SLM requirements, addressing procyclicality of SLM to ensure adequacy of the default fund, as well as introducing SLM in the non-derivatives segment. Comments also included a clarification on the impact of threshold parameters and a request to accept government bond securities as one of the resources accepted to settle SLM.
Documents (1) for ISDA Responds to CCIL Consultation on Stress Loss Margin
Latest
ISDA Publishes SPS Matrix Version 1.02
On December 19, 2025, ISDA published an updated version (v1.02) of the ISDA Digital Asset Derivative Definitions Settlement Price Source Matrix (‘SPS Matrix”). The SPS Matrix contains a list of Settlement Price Sources (SPSs) and related terms that parties can...
From Milestone to Modernization
We’re coming to the end of an exceptionally busy year at ISDA, in which we celebrated our 40th anniversary and doubled down on our enduring commitment to safe and efficient derivatives markets. Reflecting on ISDA’s achievements since 1985, it’s clear...
Response on ASIC Derivative Transaction Rules
On December 3, ISDA submitted a response to the Australian Securities and Investments Commission (ASIC) consultation on the remake of the ASIC Derivative Transaction Rules (Clearing) 2015, which are due to sunset on April 1, 2026. ASIC proposed to remake...
IRD Trading Activity Q3 2025
This report analyzes interest rate derivatives (IRD) trading activity reported in Europe. The analysis is based on transactions publicly reported by 30 European approved publication arrangements (APAs) and trading venues (TVs). Key highlights for the third quarter of 2025 include:...