New Isda guidelines to resolve collateral disputes

The derivatives industry is formalising the resolution process for collateral disputes after existing resolution methods proved inadequate during the financial crisis.

A subset of the International Swaps and Derivatives Association's collateral committee - the dispute resolution working group - has produced a draft report outlining improvements to the process. The group was planning to submit the report to Isda members and the Federal Reserve Bank of New York by the end of May.

Arguments over

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Credit risk & modelling – Special report 2021

This Risk special report provides an insight on the challenges facing banks in measuring and mitigating credit risk in the current environment, and the strategies they are deploying to adapt to a more stringent regulatory approach.

The wild world of credit models

The Covid-19 pandemic has induced a kind of schizophrenia in loan-loss models. When the pandemic hit, banks overprovisioned for credit losses on the assumption that the economy would head south. But when government stimulus packages put wads of cash in…

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