swap confirmation

swap confirmation
USA
trade confirmation, Also known as a swap confirmation, or simply a confirmation.
A document which parties to a derivatives transaction use to specify the commercial terms of the transaction, including pricing terms such as spreads. A confirmation also typically lists the notional amount of the transaction and the reference entity, if any. A credit derivatives confirmation will also specify the reference obligation and set out deliverable obligation characteristics (such as, for example, senior unsubordinated notes of the reference entity), among other terms, of the transaction.
Although ISDA publishes certain template confirmations for various types of derivatives transactions, a confirmation can take many forms and is sometimes simply an informal documentation of a bespoke trade (bespoke transaction).
The confirmation is generally incorporated by reference into, and forms a part of, an ISDA Master Agreement. While the ISDA Master Agreement specifies terms that may be applicable to one or more transactions, each transaction under an ISDA Master is usually documented by a separate confirmation.
Parties to derivatives transactions also may use a long-form confirmation, which lists the commercial terms of a transaction in addition to terms that might typically be found in a Schedule, such as additional termination events and events of default.
For more on the confirmation, see Practice Note, ISDA Documents: Overview: Confirmation (www.practicallaw.com/1-386-3976).
See also

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

Игры ⚽ Поможем написать реферат

Look at other dictionaries:

  • confirmation — con·fir·ma·tion /ˌkän fər mā shən/ n 1: the act or process of confirming, assuring, or upholding seeking confirmation of the agreement; specif: the ratification of an executive act by a legislative body senate confirmation of the Supreme Court… …   Law dictionary

  • trade confirmation — USA trade confirmation, Also known as a swap confirmation, or simply a confirmation. A document which parties to a derivatives transaction use to specify the commercial terms of the transaction, including pricing terms such as spreads. A… …   Law dictionary

  • Credit default swap — If the reference bond performs without default, the protection buyer pays quarterly payments to the seller until maturity …   Wikipedia

  • credit default swap spread — USA credit default spread, Also known as a credit default swap spread or a credit spread (or sometimes, simply, the spread). In derivatives, an amount, typically specified in basis points, above LIBOR that a …   Law dictionary

  • Minibond — is a brand name for a series of structured financial notes issued in Hong Kong under the control of Lehman Brothers. It is a misnomer to describe the Minibond as credit linked note because of the Synthetic Collateralised Debt Obligations hidden… …   Wikipedia

  • Credit event — A credit event is the financial term used to describe either: A general default event related to a legal entity s previously agreed financial obligation. In this case, a legal entity fails to meet its obligation on any significant financial… …   Wikipedia

  • credit event — USA An event or circumstance specified in a credit default swap confirmation which obligates the credit protection seller to make certain payments to the credit protection buyer. The credit events most commonly specified are failure of the… …   Law dictionary

  • Своп — (Swap) Своп это это соглашение между двумя контрагентами об обмене в будущем платежами в соответствии с определенными в контракте условиями Своп: валютный своп, сделка своп, кредитный своп, процентный своп, дефолтный своп, своп операции,… …   Энциклопедия инвестора

  • Commodity Futures Modernization Act of 2000 — The Commodity Futures Modernization Act of 2000 (CFMA) is United States federal legislation that officially ensured the deregulation of financial products known as over the counter derivatives. It was signed into law on December 21, 2000 by… …   Wikipedia

  • Illegals Program — See also: Illegal immigration Illegals Program …   Wikipedia

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”