ISDA sends agenda requests to FASB

ISDA has written a letter to the Financial Accounting Standards Board (FASB) requesting that the ability to designate a fair value or cash flow hedge of a foreign currency exposure that arises in connection with cross-border business acquisitions be considered as an agenda topic. This practice is pervasive across industries, narrow in nature, and can be resolved in a short-time frame. This practice is outside the scope of the recent hedging project that led to the issuance of Accounting Standards Update (ASU) 2017-12.

ISDA has also requested that derivative hedging the functional-currency-equivalent proceeds to be received from a forecasted foreign-currency-denominated debt issuance also be discussed. This topic was previously deliberated but left aside for a larger hedging project. This practice is pervasive across industries, narrow in nature, and can be resolved in a short-time frame. This practice is also outside the scope of the recent hedging project that led to the issuance of ASU 2017-12.

Response on Commodity Derivatives Markets

On April 22, ISDA and FIA submitted a joint response to the European Commission’s (EC) consultation on the functioning of commodity derivatives markets and certain aspects relating to spot energy markets. In addition to questions on position management, reporting and...

Episode 50: The Value of Derivatives

A new report from ISDA shows that companies all over the world use derivatives to alleviate uncertainty, transfer risk and enhance profitability. ISDA discusses the findings with Boston Consulting Group’s Roy Choudhury. Please view this page via Chrome to access...

ISDA/IIF Response to EC Market Risk Consultation

On February 22, ISDA and the Institute of International Finance (IIF) submitted a joint response to the European Commission’s (EC) consultation on the application of the market risk prudential framework. The associations believe the capital framework should be risk-appropriate and...

ISDA Submits Letter on Environmental Credits

On April 15, ISDA submitted a response to the Financial Accounting Standards Board’s (FASB) consultation on environmental credits and environmental credit obligations. The response supports the FASB’s overall proposals to establish clear and consistent accounting guidance for environmental credits, but...