ISDA Master FX Novation and Cancellation Protocol

The ISDA FX Novation and Cancellation Protocol (the "ISDA FX Novation and Cancellation Protocol" or "Protocol") covers foreign exchange products confirmed under the 1998 FX and Currency Option Definitions published by ISDA, the FXC and EMTA, Inc.  The Protocol offers parties an efficient way to make amendments to their documentation to accommodate the transfer by novation of Covered Transactions and, in some cases, the Cancellation of Linked Covered Transactions.

The ISDA FX Novation and Cancellation Protocol is open to ISDA members and non-members. There is no cut off date for adherence.  ISDA reserves the right to designate a closing date of this protocol by giving 30 days notice on this site.

The following documents must be submitted via email to the ISDA office in New York in order to adhere to the ISDA Master FX Novation and Cancellation Protocol (the "Protocol") :

  • One signed copy of the Adherence Letter, providing information on the contact person at the Adhering Party.
  • One conformed copy of the Adherence Letter. A conformed copy is an exact copy of the signed letter with the name of the person signing the letter typed on the signature line. A signature should not appear on the conformed copy of the letter.

ISDA will only accept email delivery of Adherence Letters. An Adhering Party is not required to send original Adherence Letters to the ISDA offices.

Please submit all Adherence Letters via email to  It is critical that both a scanned, signed Adherence Letter, as well as a scanned, conformed Adherence Letter is submitted. Entities will not be deemed to have adhered to the Protocol until both the signed and conformed Adherence Letters are submitted by email in accordance with the Adherence Period.

No other documents are required in order to adhere to the Protocol. Supporting documentation, such as board resolutions or a list of authorized signatures, can be provided and will be held in safekeeping by ISDA, but it is not necessary to submit such documents in order to adhere to the Protocol. Access to supporting documentation will only be provided if requested in writing.

Email address for Delivery of Adherence Letters:

Policy Regarding Conformed Copies
A signed copy and a conformed copy of an Adherence Letter must be received in order for ISDA to list a party as having adhered to the Protocol.

The most common problem experienced in the adherence process for prior Protocols was the failure to include a conformed copy of the Adherence Letter. We remind parties that a conformed copy, together with a signed copy, must be submitted to ISDA in connection with adherence to the Protocol.

Adherence Letter Submission Process
When do I need to send in my Adherence Letter?
The Protocol opens on Friday March 25, 2011. There is no closing date. ISDA does, however, reserve the right to designate a cut-off date by giving 30 days notice on this site.

How do I send in my Adherence Letter?

All Adherence Letters must be delivered by email to  In the email, you must submit both your conformed and executed copies of the Adherence Letter.

The Adherence Letter(s) should be on your institution’s letterhead. Nothing in the form Adherence Letter available on ISDA's website may be changed with the exception of completing the details of your institutional name, date and signature block.

You are not required to send your original Adherence Letter(s) by mail to ISDA.

What is a conformed copy?

A conformed copy of the Adherence Letter means that the name of the authorized signatory (for example, Patricia Smith) is typed rather than having Patricia Smith’s actual signature on the letter. ISDA only posts on its website the conformed copy of all Adherence Letters.

You must also submit an executed, or signed, copy of the Adherence Letter in addition to the conformed copy of the Adherence Letter. ISDA keeps the executed copy of the Adherence Letter for its files and does not share the executed copy with anyone else.

Who is an authorized signatory?

An authorized signatory to the Adherence Letter is an individual who has the legal authority to bind the adhering institution.

Can an Agent adhere on behalf of one or more Clients?

Yes. If you have the authority to adhere to this Protocol as Agent on behalf of one or more certain Clients, you may include with the Adherence Letter an attachment that names each such Client. If you cannot or do not wish to name such Clients, then provided that you can identify the adhering Clients by way of specific identifiers which will be known and recognized by all other Adhering Parties with which the relevant Clients have entered into Covered Transactions or Linked Covered Transactions, as applicable, you may identify such Clients using specific identifiers and without including any names. In such case, the specific identifiers will be listed on the ISDA website with the Adherence Letter.

Can I change the text of the Adherence Letter?

No. The Adherence Letter must be in the same format as the form letter published in the ISDA Master FX Novation and Cancellation Protocol. You may obtain a copy of the form Adherence Letter by visiting the ISDA website, and clicking on "ISDA Master FX Novation and Cancellation Protocol" and then clicking on "Form of Adherence Letter".

Limited Right of Revocation

Can I revoke my participation in the Protocol?
No. Once an Adherence Letter has been accepted by ISDA, an Adhering Party is bound by all amendments with other parties that have already adhered to the Protocol or, subject to the discussion below, that adhere before a designation of the Annual Revocation Date.

An Adhering Party may, at any time during the period from January 1 to January 31 of a calendar year, deliver to ISDA a notice specifying the Annual Revocation Date as its cut-off date in respect of amendments with future Adhering Parties. The effect of such a letter will be to withdraw adherence for future Adhering Parties as of February 15 in that calendar year. Although amendments already made will not be revoked, any subsequent adherence by new Adhering Parties after the designated Annual Revocation Date, will not bind the party that has submitted a Revocation Notice.

You can, however, bilaterally agree to amend any applicable Master Agreement or Stand-Alone Confirmation as the case may be with your counterparty (the other Adhering Party) and any such subsequent amendments will supersede those made by the Protocol to the extent that they are inconsistent.

Does it cost any money to adhere to the Protocol?