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Program Agenda

Program Recorded on February 27, 2020

A. Negotiating Paragraph 13 of the 2018 Credit Support Annex for IM – 1 Hour, 48 Minutes

• What does the Regime Table determine?
• Completing the Regime Table
  • Selecting Regimes
  • The ISDA SIMM™ Exception
  • Fallback to Mandatory Method and number of notice days for effectiveness
  • Mandatory Method
• One Way Provisions and specifying the Posting Party if applicable
• Applying ISDA SIMM as the Method (IM)
  • Choosing the applicable version of ISDA SIMM
  • Designating the SIMM Calculation Currency for each party, and distinguishing it from Base Currency and Termination Currency
  • Standard preferred approach vs. alternative approach in respect of relevant sensitivities for equity indices, funds and ETFs and for commodity indices
• Deciding whether to specify certain terms in the Control Agreement Eligible Collateral (IM) Schedule or in the Eligible Collateral (IM) Schedule
• Base Currency
• Substituted Regimes
• Selection of Margin Approach
• Considerations for what to specify for:
  • Calculation Agent (IM)
  • Threshold (IM)
  • Minimum Transfer Amount (IM)
  • Calculation Date Location (IM) and Calculation Time (IM)
  • Notification Time

Waqaas Fahmawi, Director & Associate General Counsel, Bank of America
Ilene K. Froom, Partner, Reed Smith LLP
Darren A. Littlejohn, Partner, Fried, Frank, Harris, Shriver and Jacobson LLP
Miki Navazio, Partner, Seward & Kissel LLP

B. Negotiating Paragraph 13 of the 2018 Credit Support Annex for IM (cont’d) – 1 Hour, 21 Minutes

• Conditions Precedent, Specified Conditions and Access Conditions
• Substitution Consent
• Dispute Resolution
  • Consultation Procedure vs. Other Regulatory CSA Procedure
  • Dispute Resolution Time
• Secured Party Rights Event
  • Requirement for non-payment of Obligations
  • Failure to Pay Early Termination Amount
  • Control Agreement Secured Party Rights Event
• Notice of Exclusive Control
  • Related covenants
  • NEC Event vs. Control Agreement NEC Event
• Pledgor Rights Event
  • Pledgor Rights Event vs. Control Agreement Pledgor Rights Event
  • Pledgor Full Discharge Condition
  • Cooling-off Period Condition
  • Pledgor Access Notice covenants
• Delivery in Lieu Right
• Specifying Custody Arrangement terms
  • Custodian (IM)
  • Custodian (IM) Risk
  • Custodian Event and CE End Date in the case of a Custodian Resignation Event and otherwise
• Considerations for making the Control Agreement a Credit Support Document
• Inconsistency with the Control Agreement and Relationship with the Control Agreement
• Collateral Access Breach Additional Termination Event and the number of days for CAB End Date
• Additional information relating to Regulatory Compliance and Concentration Limits
• Amendment to Termination Currency and Minimum Transfer Amount
• Interpretation Clause
• Loss of Required Model Approval
• Japanese Securities Provisions – when, why and how to include

Rubina Ali, Vice President & Assistant General Counsel, Goldman Sachs & Co. LLC
Ilene K. Froom, Partner, Reed Smith LLP
Deborah North, Partner, Allen & Overy LLP
Greg O’Donohue, Director & Senior Legal Counsel, Derivatives, Ontario Teachers’ Pension Plan

COURSE SAMPLE

Tags: Credit Support Annex (CSA), Initial Margin