22 August 2017
Find out more

OTC derivatives gain standards based on FpML

29 July 2009  |  6988 views  |  0 Digital Abstract

The International Securities Association for Institutional Trade Communication (ISITC) has released a new market practice for over-the-counter derivatives based around the Financial products Mark-up Language (FpML).

The ISITC's OTC Derivatives Working Group released The Market Practice - OTC Trade Notification this week. It aims to address the growing problem of dealing with increasing OTC trading volumes. Industry groups, from the FpML committees to the International Swaps and Derivatives Association (ISDA) have been working to introduce standardise trade notifications to the OTC derivatives market for some time.

The Market Practice focuses on communications related to contract notifications sent from Investment Managers to third party providers including: custodians, accounting agents and prime brokers. The standards include adopting the use of FpML tags for communication and information used in message formats.

Notifications covered by the Market Practice are:
· Initiation
· Increase
· Novation
· Amendment
· Termination

The OTC Trade Notification Market Practice spent two years in development at the ISITC's OTC Derivatives Working Group. Also involved in the development of the Practice, was the Asset Managers Forum and the FpML protocol group, which is administered by ISDA. It covers the contract lifecycle events-related notifications. Market participants will be able to receive swaps electronically in a consistent format.

These notifications allow third parties to offer services, such as settlement, accounting, valuation and reconciliation.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Isitc members feel the pain as crisis deepens

Isitc members feel the pain as crisis deepens

10 March 2009  |  4074 views  |  0 comments
Industry standards bodies band together for MiFID

Industry standards bodies band together for MiFID

04 April 2005  |  14063 views  |  0 comments
Isitc Europe presents SSIfresh settlement model

Isitc Europe presents SSIfresh settlement model

29 January 2004  |  5143 views  |  0 comments
ISDA survey shows rise in FpML; on target for confirmations processing

ISDA survey shows rise in FpML; on target for confirmations processing

04 August 2003  |  4495 views  |  0 comments
HelioGraph's Gert Raeves joins ISITC Europe executive committee

HelioGraph's Gert Raeves joins ISITC Europe executive committee

06 May 2003  |  3391 views  |  0 comments
Isda calls for FpML working group participants

Isda calls for FpML working group participants

14 October 2002  |  3473 views  |  0 comments
ISDA survey shows front office automation on the rise

ISDA survey shows front office automation on the rise

11 July 2002  |  2642 views  |  0 comments
Isda to set up credit derivatives FpML group

Isda to set up credit derivatives FpML group

11 June 2002  |  4287 views  |  0 comments
ISDA publishes FpML Version 3.0

ISDA publishes FpML Version 3.0

13 February 2002  |  2294 views  |  0 comments
FpML.org invites proposals for standard integration

FpML.org invites proposals for standard integration

19 October 2001  |  3016 views  |  0 comments
FpML.org calls for comment on new draft spec

FpML.org calls for comment on new draft spec

19 September 2001  |  3292 views  |  0 comments
visit www.worldpaymentsreport.comvisit www.dorsum.eudownload the paper now

Who is commenting?

A Finextra member Finextra Member Commented on: Real-time payments in...
A Finextra member Finextra Member Commented on: Barclays uses sensors...

Top topics

Most viewed Most shared
Mobile contactless spending accelerating in UKMobile contactless spending accelerating i...
11892 views comments | 26 tweets | 23 linkedin
Barclays pairs banking data with third party apps for SmartBusiness DashboardBarclays pairs banking data with third par...
10306 views comments | 22 tweets | 31 linkedin
hands typing furiouslyWhy Is Risk Analytics Important?
9912 views 0 | 5 tweets | 1 linkedin
RBS to bring Silicon Valley to EdinburghRBS to bring Silicon Valley to Edinburgh
9622 views comments | 10 tweets | 8 linkedin
Norwegian banks and startups form fintech clusterNorwegian banks and startups form fintech...
9598 views comments | 19 tweets | 23 linkedin

Featured job

Find your next job