Episode 56: Countdown to Treasury Clearing
The ISDA podcast’s Episode 56 spotlights the looming U.S. Treasury clearing mandates, which will become effective in less than nine months. BlackRock’s Tyler Wellensiek and BNY Mellon’s Nate Wuerffel assess how the market is progressing toward mandatory clearing, highlighting operational upgrades and coordination with clearing houses. The discussion underscores the regulatory push for greater transparency and reduced counter‑party risk in Treasury derivatives. Listeners are urged to follow the timeline closely as firms finalize compliance plans.
ISDA Responds to ESMA on PTRR Clearing Exemption
On April 20, ISDA responded to ESMA’s consultation on a draft regulatory technical standard for the post‑trade risk reduction (PTRR) exemption under EMIR. The association urged a principles‑based definition of eligible PTRR services to preserve innovation, argued that existing EMIR...
ISDA Responds to EC on Competitiveness of EU Banking Sector
On April 17, the International Swaps and Derivatives Association (ISDA) submitted a detailed response to the European Commission’s consultation on enhancing the competitiveness of the EU banking sector. The filing emphasizes the critical role of trading‑book capital rules, arguing that...
Global Trading in INR Derivatives and the Indian OTC Derivatives Market
Global trading in Indian‑rupee (INR) derivatives has surged over the past decade, positioning the currency as a key hedge instrument. The Bank for International Settlements’ April 2025 survey ranks INR 11th in overall FX derivatives and 17th in interest‑rate derivatives. A...
ISDA, CMCE, ETE, FIA Respond to FCA on Commodity Derivatives Clearing Threshold
On April 9, ISDA, the Commodity Markets Council Europe, Energy Traders Europe and FIA responded to the FCA’s CP26/8 consultation on raising the UK commodity‑derivatives clearing threshold. They endorse an increase from the current €3 bn (≈$3.2 bn) but argue the FCA’s proposed...
Natixis CIB Adopts ISDA’s Digital Regulatory Reporting Solution
Natixis CIB has officially adopted ISDA’s Digital Regulatory Reporting (DRR) solution, leveraging the open‑source Common Domain Model (CDM) to automate regulatory filings. The platform translates a golden‑source interpretation of reporting rules into machine‑executable code, promising higher data accuracy and faster...
ISDA, AFME, ICMA and EBF Publish Paper on Proposals Relating to MIFIR PTT in the EC’s Market Integration and Supervision...
On April 7, ISDA, AFME, ICMA and the European Banking Federation released a joint paper commenting on the European Commission’s Market Integration and Supervision Package, specifically the post‑trade transparency (PTT) provisions of MiFIR. The paper backs the EC’s proposal to remove...
ISDA In Review – March 2026
In March 2026 ISDA released a suite of publications addressing key regulatory topics. A paper on April 2 argued that single‑sided reporting does not erode data integrity for supervisors, easing regulator concerns. The same day, ISDA, AFME and ICMA updated a...
ISDA Responds to EC Call for Evidence on Tax Omnibus
On March 30, ISDA, the International Securities Lending Association and the Association for Financial Markets in Europe submitted a response to the European Commission’s call for evidence on the tax omnibus. They contend that divergent interpretations of “beneficial ownership” across...
Managing Liquidity Risk: Opportunities and Challenges for Australian Superannuation Funds
Australian superannuation funds now manage A$4.5 trillion (about $3 trillion) in assets, roughly 160 % of GDP. Growing offshore allocations and increased derivative use have heightened liquidity risk, especially amid volatile markets and geopolitical shocks. Funds are adopting tools such as repo facilities,...
Next Steps on a Much Improved Basel III Endgame
The revised Basel III endgame proposal released this month marks a major step toward finalizing U.S. capital reforms. It introduces a suite of improvements, including the removal of the output floor for internal market‑risk models, enhanced cross‑product netting under SA‑CCR,...
ISDA Paper on EC’s Market Integration and Supervision Package Proposal
On March 20, ISDA delivered a position paper to EU lawmakers outlining reforms to the European Commission’s Market Integration and Supervision Package (MISP). The paper calls for synchronized Level 1 and Level 2 implementation dates, stronger no‑action relief, a secondary competitiveness mandate...
ISDA Selects Gentek AI to Develop DRR Traceability Tool
ISDA has appointed Gentek AI to build a traceability tool for its Digital Regulatory Reporting (DRR) platform, leveraging artificial intelligence to map coding decisions back to regulatory text. The solution will extract insights from ISDA working‑group minutes, creating a full...
ISDA Guidance: SOFR Publication on Good Friday 2026
ISDA issued guidance for OTC derivative parties regarding the anticipated non‑publication of the Secured Overnight Financing Rate (SOFR) on Good Friday, April 3 2026. The guidance outlines fallback mechanisms, amendment procedures, and confirms the holiday‑driven gap in the benchmark. It advises market...
IQ Interview with David Bailey
The Bank of England’s Prudential Regulation Authority has finalized its Basel 3.1 framework, slated to take effect at the start of 2027. In an IQ interview, executive director David Bailey highlighted the need for global regulatory consistency while acknowledging the challenges...
LSEG’s TradeAgent Integrates ISDA’s Digital Regulatory Reporting Solution
LSEG has integrated ISDA’s Digital Regulatory Reporting (DRR) solution into its TradeAgent post‑trade platform. DRR converts global derivatives reporting rules into machine‑readable code, covering eight rule sets. Both DRR and TradeAgent are built on the open‑source Common Domain Model (CDM),...
Global FX Derivatives Market Overview: Size, Structure and Uses
Global FX derivatives daily turnover hit $6.6 trillion in April 2025, about double the 2013 level. While FX swaps still dominate, outright forwards and options are growing fastest, reshaping product composition. Trading remains concentrated in London, though Asia‑Pacific’s share is rising and...
Safe, Efficient Markets for SFTs
Securities financing transactions (SFTs) such as repos, securities lending, and margin lending are essential for daily market liquidity, collateral flow, and the transmission of monetary policy, underpinning benchmarks like SOFR. Historical stress events—from the 1998 LTCM collapse to the 2022...
ISDA, GFXD, UK Finance, LMA Respond to HMT on UK BMR Reform
On March 11, ISDA, the Global Foreign Exchange Division of GFMAB, UK Finance and the Loan Market Association jointly responded to HM Treasury’s consultation on reforming the UK benchmark regime. They endorse replacing the current UK Benchmark Regulation, which mirrors...
ISDA and EMTA Publish Revised Definitions for FX Derivatives Market
ISDA and EMTA have issued the 2026 FX Definitions, a comprehensive overhaul of foreign‑exchange derivative documentation. The new standards, slated for implementation on November 22, 2027, replace the 1998 FX and Currency Option Definitions and merge ISDA and EMTA templates...
ISDA/ASIFMA Request Clarifications on RBI IRD Master Directions
On February 11, 2026 ISDA and the Association of Securities and Intermediaries in Financial Markets (ASIFMA) sent a joint letter to the Reserve Bank of India requesting clarification on the RBI’s 2025 Master Direction for Rupee Interest Rate Derivatives. The...
Updated OTC Derivatives Compliance Calendar
ISDA has published an updated global compliance calendar for OTC derivatives, outlining key regulatory deadlines worldwide. The update also includes a Market Practice Note detailing the rebasing methodology for several European inflation indices. Additionally, ISDA provides guidance for EU counterparties...
Guidance for EU IM Model Application for ISDA SIMM®
EU financial and non‑financial counterparties using ISDA SIMM must have filed an initial IM model application with their competent authority or the ECB, and those that have already applied need to submit an updated version by 31 March 2026. The update must reference...
SwapsInfo Full Year 2025 and the Fourth Quarter of 2025 Review
SwapsInfo reports a 46.1% jump in interest‑rate‑derivatives (IRD) notional to $536.5 trillion in 2025, with trade count rising 22.9% to 3.3 million. Short‑dated contracts dominate, representing 71.5% of IRD notional, while cleared transactions account for 86.6% of total notional. Swap execution facilities...
IRRBB Management in Emerging Market and Developing Economies: The Role of Derivatives in Supporting Financial Stability and Economic Development
Interest rate risk in the banking book (IRRBB) is emerging as a top priority for banks and regulators across emerging market and developing economies (EMDEs). Monetary tightening and persistent macro‑volatility are making balance‑sheet exposures more fragile, exposing the limits of...