Previous Calls
Insights on Derivatives
Here is the collection of recordings from our Insights on Derivatives call series.
Share
Round-up of the main take-aways from the AGM (May 2023)
Clifford Chance's derivatives experts will be attending the 2023 ISDA Annual General Meeting, and panellists from across our global network will be sharing their observations across two 30-minute calls before and after the AGM – one looking forward to the likely key themes that will come out of the discussion with keynote speakers, regulators and market participants in the financial markets, and one after the AGM picking up on the main takeaways from the AGM. Clifford Chance are proud sponsors of the 37th ISDA AGM.
Looking ahead to likely key themes from at 2023 AGM (May 2023)
Clifford Chance's derivatives experts will be attending the 2023 ISDA Annual General Meeting, and panellists from across our global network will be sharing their observations across two 30-minute calls before and after the AGM – one looking forward to the likely key themes that will come out of the discussion with keynote speakers, regulators and market participants in the financial markets, and one after the AGM picking up on the main takeaways from the AGM. Clifford Chance are proud sponsors of the 37th ISDA AGM.
Insights on Derivatives: Update on Commodities and ESG - Key issues for 2023 (March 2023)
On this call, the panel provided an update on current developments affecting the commodities markets and consider some of the issues arising as a result of last year's suspension of trading at the LME. They also outlined recent developments in the trading of voluntary carbon credits following the publication of the 2022 ISDA Verified Carbon Credit Transaction Definitions, before moving on to discuss the scope of ISDA's latest project in relation to sustainability-linked derivatives.
A look ahead at regulatory developments in 2023 (January 2023)
There are some significant regulatory changes being planned for 2023 in the UK and EU, with the UK starting work on the reform of legacy EU regulation under the Financial Services and Markets Bill and the EU completing its review of EMIR and MiFIR, among other developments. On this call, the panel will look at what to expect in 2023 and some of the impacts for derivatives markets participants, including potential changes to documentation, reporting requirements and the clearing and margin obligations.
Insights on Derivatives: Crypto-derivatives - ISDA documentation Effect of MiCA on derivatives - (February 2023)
On this call the panel discuss the newly published ISDA Digital Asset Derivatives Definitions, giving an overview of their development and the scope of the definitions and considering what future developments may be in relation to digital asset derivatives. The panel also provided an overview of developments in the repo and stock lending markets in relation to digital assets, as well as an overview of upcoming regulatory developments that may impact derivatives, repo and stock lending
Insights on Derivatives: IBOR Update – Looking ahead to 2023 (December 2022)
On this call, the panel provided an overview of the current status of legislative and regulatory developments to address tough legacy contracts (including the FCA's proposals to require the continued publication of the 1, 3 and 6 month US dollar LIBOR settings on a synthetic basis until the end of September 2024), together with an update on issues relating to the continued use of term rates. They also considered the actions that market participants may be taking to remediate their US dollar LIBOR agreements, incorporating lessons learned from the transition from sterling LIBOR, whilst reflecting on the issues they may face in doing so.
Insights on Derivatives: Examining EMIR 3.0 - Risks and Opportunities for Derivatives Counterparties (December 2022)
The original EU EMIR legislation has already undergone two major amendments since it came into force in 2012. Changing market circumstances and developing issues continue to focus attention on the scope and detail of the regulation and whether these strike the right balance between risk and opportunity. On this call, the panel discussed the key aspects of the proposal relating to clearing, margin requirements, reporting, intra-group transactions, and CCPs, as well as considering equivalent developments in the UK.
Insights on Derivatives: An update on issues, developments and the new trading documentation for the carbon markets (November)
On this call, the panel provided an update on developments in the voluntary carbon credit (VCC) market, including the soon to be released 2022 ISDA Verified Carbon Credit Derivatives Definitions, the characterisation of VCCs under the recent Law Commission Consultation Paper on Digital Assets and recent regulatory proposals which have the potential to affect derivatives market participants.
Insights on Derivatives: Netting in the News (October 2022)
On this call, the panel discussed the scope of the ISDA netting opinion for China and the implications of this for market participants, including in relation to regulatory margin requirements. They also considered how netting arrangements could be affected by the provisions in the draft EU Insurance and Recovery Directive, by the proposals in the UK Financial Services and Markets Bill on the resolution of insurers, and by the potential adoption into UK law of two UNCITRAL model laws relating to cross-border insolvencies.
Insights on Derivatives: Law Commission Paper on Digital Assets (September 2022)
On this call, the panel discussed the potential impact on derivatives markets of the recent Law Commission of England and Wales Consultation Paper on Digital Assets. The panel began by outlining some of the key points within the paper, including the paper's proposal that digital assets fall within a new category of personal property, before moving on to consider particular issues of relevance for the derivatives markets (including the transfer of digital assets, security and custody arrangements). The panel also considered the wider context of the paper, such as whether it is in line with proposals in other jurisdictions and how the market and the UK regulatory authorities may respond to the consultation.
Insights on Derivatives: Legal and Regulatory update (Back to School) (September 2022)
The start of a new academic year provides us with the opportunity to recap and reflect on the developments of the summer and look ahead towards what may be on the UK and EU regulatory agenda for the next few months (and possibly into 2023). Top of the list is the new UK Financial Services and Markets Bill, which aims to implement the outcomes of the government’s future regulatory framework review and to make other changes to update the UK regulatory regime. During the call the panel explained the background to the bill, before outlining some of the key features for derivatives markets. They also discussed the PRA/FCA consultation on margin requirements for non-centrally cleared derivatives and EU initiatives regarding clearing.
Insights on Derivatives - Recent developments affecting commodity derivatives (June 2022)
The third call in this series outlining how recent market developments, together with potential changes to the regulatory landscape, are affecting particular categories of transactions. The panel also turned their attention to commodity derivatives, which have come under increasing levels of scrutiny in light of geopolitical developments. Regulatory issues discussed on the call included ESMA's proposal to increase the Clearing Threshold for commodity derivatives by €1 billion and concerns amongst UK and EU regulators that existing reporting regimes have not created sufficient levels of transparency.
Insights on Derivatives: Recent developments affecting equity derivatives (June 2022)
There have been a number of developments over the last few months with potential impacts for equity derivative and margin lending transactions. These include the UK's recently enacted National Security and Investment Act, changes to the UK's Securities Financing Transaction Regulations and potential amendments to the EU Financial Collateral Arrangements Directive. On this call, the panel provided an update on current market developments, together with an overview of recent and potential changes to the regulatory landscape.
Insights on Derivatives - Recent developments affecting carbon credits and emissions trading (May 2022)
The growing trend of companies setting net zero and other climate reduction targets is likely to lead to a major increase in activity in the voluntary carbon markets and rises in the price of voluntary carbon credits, as supply fails to keep up with demand. On this call the panel explained the current direction of regulatory reform and the potential issues facing market participants. They also provided an overview of other recent developments including updates to the emissions allowance transaction documents.
Insights on the 2022 ISDA AGM (May 2022)
Clifford Chance's derivatives experts attended the 2022 ISDA Annual General Meeting and hosted 30-minute briefings to report back on key themes discussed by keynote speakers, regulators and market participants in the financial markets. Panellists from across our global network shared their observations on the major topics affecting the financial markets, including ESG, digitalisation and crypto, sanctions, LIBOR transition, margin and diversity and inclusion. Clifford Chance are proud sponsors of the 36th ISDA AGM.
Insights on Derivatives: IBOR Reform – Where Are We Now? (March 2022)
ISDA has recently published the 2022 SFT Definitions and Schedule Provisions. If these are incorporated into an ISDA Master Agreement then a single agreement can be used to document repurchase transactions and securities lending transactions alongside derivatives. On this call the panel will explain the background to this package of documents, the rationale for the initiative and how parties can use them to execute transactions. They will also consider how the market will react to these and issues going forwards.
Insights on Derivatives: Brexit one year on (April 2022)
Just over a year on from Brexit, we looked at some of the key developments for derivatives regulation in the EU and UK, including the status of any transitional provisions and equivalence decisions, as well as any signs of divergence between EU and UK rules.
Insights on Derivatives: 2022 ISDA SFT Documentation (March 2022)
ISDA has recently published the 2022 SFT Definitions and Schedule Provisions. If these are incorporated into an ISDA Master Agreement then a single agreement can be used to document repurchase transactions and securities lending transactions alongside derivatives. On this call the panel will explain the background to this package of documents, the rationale for the initiative and how parties can use them to execute transactions. They will also consider how the market will react to these and issues going forwards.
Insights on Derivatives: IBOR Reform – Where Are We Now? (March 2022)
The LIBOR milestone of 31 December 2021 has come and gone. The publication of 24 LIBOR tenors based on the previous methodology has now ended, with six key rates being replaced by synthetic versions. Two months later this is not the end of the story, as parties are now switching their attention to planning for the transition to term SOFR. On this call the panel provided an update on the post-2021 regulatory IBOR landscape and consider where the market might be heading over the next year. They also discussed some of the potential issues that parties may face when continuing to plan and implement their IBOR remediation projects.
Insights on Derivatives: Sanctions on Russia (March 2022)
On this specially convened Insights on Derivatives call, experts discussed the potential impact of the global sanctions and export controls that have been imposed in response to recent events in Ukraine. On this call, the panel discussed the nature and extent of the measures affecting derivatives, consider matters relating to the continued performance of obligations under transactions and outline some of the issues a party may face if attempting to terminate transactions.
Insights on Derivatives: Digital Assets (February 2022)
On this call, the panel discussed the latest market developments in relation to derivatives referencing digital assets. In particular, the panel discussed the recent paper published by ISDA on contractual standards for digital asset derivatives and will consider what the likely next steps will be in the evolution of the digital asset derivatives market. The panel also considered developments in the US, in particular in relation to the classification of digital assets.
Insights on Derivatives: Back to School: a refresher on forthcoming UK and EU regulatory developments (January 2022)
One year after the end of the Brexit transition period, we have begun to see the first shoots of regulatory divergence between the UK and EU. On this call the panel considered how derivatives trading is likely to be affected by forthcoming amendments to both the UK and EU regulatory framework, including upcoming changes to the UK margin rules and updates to the intragroup exemption and clearing thresholds under EMIR. The panel also looked at the future of UK regulation and potential areas of imminent change to look out for.
Insights on Derivatives: IBOR Update (November 2021)
On this call, the panel discussed current market issues and concerns and the latest market developments in respect of IBOR transition, including the recent announcements by the UK's FCA on the permitted use of synthetic JPY and GBP LIBOR for legacy transactions as well as on the prohibition of the use of US Dollar LIBOR in new contracts by supervised entities after the end of this year. The panel also addressed the latest developments in the US.
Insights on Derivatives – Crypto Assets and Derivatives (October 2021)
On this call the panel discussed the current issues relating to trading crypto assets and derivatives. We also provided an overview of regulation impacting this evolving market and the key developments and issues we are seeing in products and documentation as well as legal opinions and collateral.
Insights on Derivatives – 2021 ISDA Interest Rate Derivatives Definitions (October 2021)
The 2021 ISDA Interest Rate Derivatives Definitions were implemented on Monday 4 October and we will soon see trades using these Definitions. On this call, the panel focused on current market discussions around the 2021 Definitions and also highlighted a number of key features of the 2021 Definitions, including the Calculation Agent provisions, the new Cash Settlement process and the fallbacks for Floating Rate Options.
Insights for Derivatives: "Back to School" (September 2021)
On this call the panel discussed a range of key regulatory updates affecting derivatives markets, covering BRRD, the clearing obligation and trading obligation and the treatment of RFR swaps as well as CSDR. We also covered some headline developments on equivalence decisions in the UK and EU, the Wholesale Markets Review and changes in the regulation of commodity derivatives in the UK and the EU.
Insight on Derivatives – 2006 ISDA Definitions – Supplements 71-76: purpose and key features (July 2021)
On this call, the panel provided the background to the publication of Supplements 71-76 to the 2006 ISDA Definitions. The panel also gave an overview of the structure and key features of Supplements 74 and 75 as well as discussing alternative rates such as USD- AMERIBOR and USD-BSBY and the compounded index provisions for GBP-SONIA.
Insight on Derivatives - Initial Margin (IM): update and next steps (June 2021)
With a much broader range of counterparties now coming into scope for Initial margin (IM), on this call the panel provided an overview of current status and the key issues and deadlines those counterparties need to focus on. In addition, the panel discussed the key latest developments, including the interaction of EU and UK margin rules and new custodians coming on-line. The panel also discussed recent developments regarding IM and Asia, including in China, Taiwan and South Korea
Insight on Derivatives - 2021 ISDA Interest Rate Derivatives Definitions: update and next steps (June 2021)
With the "Go-live" date for the new 2021 ISDA Interest Rate Derivatives Definitions scheduled for Friday 4 June 2021, on this call the panel discussed the key changes being implemented by the new definitions. The panel considered the changes made to the cash settlement methodologies, new business day provisions, market disruptions and closures as well as how these definitions have been adapted for digitisation and standardisation. We also discussed how these new definitions link into IBOR reform as well as the timeline for implementation. Paget Dare Bryan chaired the discussion with colleagues Sarah Lewis and Greg Chartier.
Insight on Derivatives - PRC Derivatives Developments (May 2021)
On this call the panel discussed key recent derivatives developments in China. We considered China's recently published draft Futures Law, including its potential impact on the enforceability of netting in China as well as on a range of cross-border issues such as offering of futures trading to PRC clients, insolvency protections for trading on PRC futures exchanges, cross border marketing and recognition of title transfer security in China. The panel also discussed the changes to the Qualified Foreign Investor access regime and new initiatives that relate to expanding derivatives trading opportunities in the Greater Bay Area (GBA). Paget Dare Bryan chaired the discussion with colleagues Terry Yang and Kimi Liu.
Insights on Derivatives: IBOR Transition – Market update (May 2021)
On this call the panel discussed how the market has reacted to and developed since the FCA's announcement on 5 March on the cessation of LIBOR and the publication of the PRA/FCA's 'Dear CEO' letter which followed on 26 March. The panel also provided an update on the possible legislative solutions and the current issues being addressed in remediation projects as parties address their legacy contracts. Sarah Lewis chaired the discussion with colleagues Paget Dare Bryan, Anne Drakeford and Greg Chartier.
Insights on Derivatives - Commodity derivatives regimes – the UK and the EU: diverging paths? (April 2021)
On this call, the panel discussed the impact on commodity derivatives requirements of the EU27 "quick fix" amendments to MiFID2 as well as the UK FCA consultation on equivalent changes. We also considered the implications for commodities regulation of the forthcoming EU27 broader MiFID review, the impact of Brexit and the expected UK FCA consultation on changes to the on-shored MiFID2 regime. Paget Dare Bryan chaired the discussion with colleagues Caroline Dawson and Sarah Lewis.
Insights on Coronavirus response – Return to the workplace issues (July 2020)
Simon Crown chaired the discussion with Alistair Woodland and Chinwe Odimba-Chapman.
Insights on Coronavirus response – ECB and BoE eligibility criteria (20 May 2020)
We discussed the key criteria to consider when assessing the potential eligibility of corporate bonds and loans as ECB or Bank of England collateral. Chris Bates chaired the discussion with Kerstin Schaepersmann and Julia Machin.
Insights on Coronavirus response – impact on the real estate sector (29 April 2020)
We discussed the impact on real estate finance, issues for occupiers, landlords and their lenders and the M&A landscape. Caroline Dawson chaired the discussion with Emma Matebalavu, Adrian Levy and Alis Pay.
Insights on Coronavirus response – impact on derivatives (22 April 2020)
We discussed the impact on derivatives of recent emergency government measures introducing moratoria and payment holidays and other recent coronavirus related derivatives market issues. Caroline Dawson chaired the discussion with Paget Dare Bryan and Tim Cleary.
Insights on Coronavirus response - impact of the CARES Act and other US government measures aimed at supporting businesses (15 April 2020)
We discussed the impact of the CARES Act and other US government measures aimed at supporting businesses affected by COVID-19 related disruption. Caroline Dawson chaired the discussion and was joined by Jeff Berman and Gareth Old.
Insights on Coronavirus response - emergency funding measures, introduced moratoria and payment holidays to support businesses affected by Covid-related disruption (8 April 2020)
Governments around the world have put in place emergency funding measures and introduced moratoria and payment holidays to support businesses affected by Covid-related disruption. In this call we looked in more detail at the measures proposed in Belgium, France and Germany.
Insights on Coronavirus response - Government actions to support businesses (2 April 2020)
We discussed the recent actions taken by governments around the world to support businesses affected by Covid-related disruption, including in relation to emergency funding and payment holidays. Caroline Dawson chaired the discussion with other Clifford Chance specialists from across our network.
Insights on Coronavirus response - impact on businesses (25 March 2020)
We discussed the latest issues being faced by firms in light of the disruption to business and market volatility caused by the Coronavirus (Covid-19) outbreak. Caroline Dawson chaired the discussion with other Clifford Chance specialists from across our network.
Insights for Derivatives - Initial Margin - a "Play-book" for IM phases 3 and 4 (November 2017)
We discussed the structure, planning and implementation issues for those caught by IM phases 3 and 4.
Insights on Derivatives: Initial Margin Update (November 2021)
On this call the panel discussed recent developments in respect of initial margin, including lessons learned from the implementation of Phase 5 and some of the key issues to consider as more and more asset managers, funds and corporates begin to come into the scope of the margin rules under Phase 6. The panel also discussed recent regulatory developments relating to the margin rules in the UK and EU.
