The International Swaps and Derivatives Association (ISDA) has submitted a response to the European Securities and Markets Authority's (ESMA) consultation on the active account requirement (AAR) announced under the reviewed European Market Infrastructure Regulation (EMIR 3.0). ISDA raised significant concerns regarding the proposed reporting regime for AAR compliance monitoring, asserting that it exceeds necessary measures and contradicts the EU's recent commitment to reduce administrative burdens and also highlighted the ambiguities in certain operational requirements, particularly those related to stress testing.

The International Swaps and Derivatives Association (ISDA) has published a statement following the JBA TIBOR Administration (JBATA)'s announcement on the future cessation of euroyen TIBOR tenors. The announcement stipulated that the fallback spread adjustment published by Bloomberg is fixed for all euroyen from TIBOR settings from 6 March 2024. JBATA stated that calculation and publication of all euroyen TIBOR tenors will cease immediately after final publication on 30 December 2024. The fallbacks will automatically occur after 30 December 2024 for outstanding derivatives contracts that incorporate the IBOR Fallbacks Supplement, including as a result of both parties adhering to the ISDA 2020 IBOR Fallbacks Protocol, or the 2021 ISDA Interest Rate Derivatives Definitions. The ISDA 2020 IBOR Fallbacks Protocol remains open for adherence on ISDA's website.

The International Swaps and Derivatives Association (ISDA) has launched the ISDA Notices Hub and the ISDA 2025 Notices Hub Protocol to provide a digital alternative for delivering time-sensitive notices under the ISDA Master Agreement. The initiative is intended to support more efficient and reliable delivery of termination notices and waivers, particularly in circumstances where physical delivery may be delayed or impractical. The ISDA Notices Hub, developed in collaboration with S&P Global Market Intelligence, is a secure online platform that facilitates the exchange of critical notices and centralises address updates. The accompanying protocol enables firms to amend their documentation to allow use of the Hub, with 79 entities having adhered at launch. The platform is available at no cost to buy-side firms, with discounted access for dealers during the initial period. Features include automated notifications and a single-entry system for updating delivery details across agreements.

The International Swaps and Derivatives Association (ISDA) has launched a request for quote (RFQ) for development of an artificial intelligence-powered traceability tool for its Digital Regulatory Reporting (DRR) solution. The tool is intended to provide enhanced transparency by mapping DRR coding decisions back to regulatory requirements and creating audit trails of the coding process. The AI system will extract information from ISDA working group meeting minutes to explain coding decisions. Proposals are due by 28 November 2025, with a decision expected by 30 January 2026.

The International Swaps and Derivatives Association (ISDA) has published a consultation paper proposing new solutions for handling lock-up agreements in Credit Default Swap (CDS) auctions. The proposal seeks to establish a uniform treatment of Locked Up Debt within CDS settlement processes—addressing issues related to market squeezes and auction timing. It responds to concerns about the disproportionate impact of Lock-Up Agreements on CDS settlements during restructuring and bankruptcy scenarios. Market participants are invited to submit feedback on the proposed solution by 8 August 2025 to Fred Quenzer, Senior Counsel, America, at fquenzer@isda.org.

The International Swaps and Derivatives Association (ISDA) has launched the 2026 ISDA Emissions Transactions Definitions, introducing a natively digital version of its documentation for emissions allowance transactions. The definitions provide standardised documentation for physically settled over-the-counter derivatives transactions referencing emissions allowances under mandatory emissions trading systems (ETSs) in the EU, UK and US. They comprise a fully digital, versionable definitional booklet and accompanying confirmation templates, enabling market participants to incorporate the relevant version when executing a transaction rather than having to amend relationship-level documentation each time the framework is updated. The digital format will enable the documentation to be updated more efficiently to reflect changes to existing ETSs or the introduction of new schemes and provide market participants with greater certainty over the terms applicable to individual transactions.

The International Swaps and Derivatives Association (ISDA) has launched its Close-out Framework in response to the failure of Signature Bank and SVB in the United States. This new interactive digital framework is intended to be used as a preparatory resource to help firms coordinate internal business functions and stakeholders and internal and external legal, operational, risk management, infrastructure, and other relevant service providers to ensure they are adequately prepared for any potential future stress events.

The International Swaps and Derivatives Association (ISDA) has introduced a pre-adherence process for its new Notices Hub platform, which is scheduled to launch on 15 July 2025. Managed by S&P Global Market Intelligence, the platform will revolutionise the delivery of termination notices and waivers under ISDA master agreements by enabling firms to submit these documents digitally, thereby replacing the current requirement for physical delivery. A complimentary protocol will update existing agreements between adhering parties to facilitate the platform's use. While the service will be free for buy-side firms, dealers will benefit from two-year discounted rates if they adopt the platform early.

The International Swaps and Derivatives Association (ISDA) has launched a versionable edition of its 2025 – 2002 ISDA Equity Derivatives Definitions Protocol, allowing parties to replace the 2022 ISDA Equity Derivatives Definitions with the new Equity Definitions VE in their master confirmation agreements. The Protocol applies to agreements between Adhering Parties governed by an ISDA Master Agreement or Additional Master Agreement, and affects equity derivative transactions entered on or after the Protocol effective date or implementation date, whichever is later. Currently, there is no designated cut-off date for adherence however, ISDA reserves the right to establish one with 30 days’ notice.

The International Swaps and Derivatives Association (ISDA) has launched a clause library for sustainability-linked derivatives (SLDs). The library is designed to eliminate unnecessary differences and increase standardisation to this market, resulting in a more efficient negotiation process and reduce risks. Market participants will be able to use standardised drafting options provided in the library during SLD transactions' negotiations with counterparties. The ISDA SLD clause library is available via the ISDA MyLibrary platform which allows users to navigate the various provisions in a digital format with search functionality and comparability tools.

What does this Practice Note cover? This Practice Note summarises the key provisions which are applicable to both the 1992 ISDA Master Agreement (Multicurrency—Cross Border) (the 1992 Agreement) and the 2002 ISDA Master Agreement (the 2002 Agreement) and their related schedules. References in this practice note to the master agreements (the ISDA master agreement) are references to both the 1992 Agreement and the 2002 Agreement, unless otherwise stated. For information on the differences between the 1992 Master Agreement and the 2002 Master Agreement, see Practice Note: ISDA documentation—comparison of the 1992 and 2002 master agreements and for more information on the ISDA documentation framework, see Practice Note: Derivatives—ISDA documentation framework. The key concepts underpinning the ISDA master agreement The ISDA master agreement is based upon three key concepts which will be described in more detail in the following paragraphs: • single agreement • flawed asset, and • close-out netting Single agreement Under the ISDA approach to documentation, all derivative transactions entered into between any two parties are documented under

What doe this Practice Note cover? This Practice Note provides guidance on the use and interpretation of International Swaps and Derivatives Association (ISDA) netting legal opinions, which assess the enforceability of close-out netting provisions under the ISDA Master Agreement across various jurisdictions. It also explains how to determine whether an opinion can be relied upon in a given context, highlights key legal assumptions and exclusions, and addresses jurisdiction-specific considerations such as insolvency regimes, multi-branch party elections and termination currencies. The legal opinions ISDA commissions legal opinions for jurisdictions which participate in financial derivative markets. The legal opinions are provided by a major law firm in each country and are annually updated to reflect any changes in law and regulation. They are addressed to ISDA and can be relied on by ISDA members. The ISDA documentation to which they apply will be set out in the body of the opinion but essentially the opinions relate to the provisions of the 1987, 1992 and 2002 form of Master Agreements, together with associated documentation. As well as the netting