Derivative transactions are typically documented by the standard documentation developed and published by the International Swaps and Derivatives Association, Inc. (ISDA).

The key documentation which sets out the non-commercial terms that apply to each trade between two parties are:

1. •

   the master agreement, and

2. •

   the schedule to the master agreement

The master agreement and schedule contain standard provisions which form a type of boilerplate between the two counterparties.

The key versions of the master agreement are:

1. •

   1992 ISDA Master Agreement (Multicurrency—Cross Border) (the 1992 Master Agreement) together with its schedule

2. •

   2002 ISDA Master Agreement (the 2002 Master Agreement) together with its schedule

This Practice Note summarises the key differences between the 1992 Master Agreement and the 2002 Master Agreement.

For information on the 1992 Master Agreement and 2002 Master Agreement and their related schedules in general, see Practice Note: ISDA master agreements and schedules—key provisions.