For discussion at 14:00 LDN this Friday
From: Takeo Asakura
[mailto:Takeo.Asakura@xxxxxxxxxxxxxx]
Sent: 19 January 2010 18:01
To: Andrew P Parry; Irina Yermakova
Cc: James Clark
Subject: CSIA (Component Security Index Annex)
Andrew, Irina,
Re MEIA2, Katherine (ISDA)
has stated “It became the component security index annex (csia)-published w eur
index swap”.
1. This probably means the FpML change we recently
discussed and agreed is now redundant… is it too late to revert it back?
2. The original FpML element for MEIA states ‘Multiple
Exchange’ in the element name, so the structure agreed for MEIA2 may not be
appropriate to include CSIA within. I assume MEIA and CSIA are mutually
exclusive. If the group agrees on these, the enhancement shown in the diagram
below would be the simplest alternative.
The annotation is tentatively left to be the same as MEIA – I’m not sure this
should state Europe though currently the CSIA comes with the European MCA.
3. As for the contents of the CSIA, I cannot see anything
that affects the FpML structure.
(If you are OK with the above
factors, the below and the attached can be distributed to the group as a
proposal.)
Regards,
Takeo
==========
<xsd:group
name="EquityUnderlyerProvisions.model">
<xsd:annotation>
<xsd:documentation xml:lang="en">A group containing Equity
Underlyer provisions.</xsd:documentation>
</xsd:annotation>
<xsd:sequence>
<xsd:choice
minOccurs="0">
<xsd:element name="multipleExchangeIndexAnnexFallback"
type="xsd:boolean" minOccurs="0">
<xsd:annotation>
<xsd:documentation xml:lang="en">Used for specifying whether
additional annex terms for trades with underlyers that are listed on multiple exchanges,
as defined in the European Master Confirmation, will
apply.</xsd:documentation>
</xsd:annotation>
</xsd:element>
<xsd:element
name="componentSecurityIndexAnnexFallback"
type="xsd:boolean" minOccurs="0">
<xsd:annotation>
<xsd:documentation xml:lang="en">Used for specifying whether
additional annex terms for trades with underlyers that are listed on multiple
exchanges, as defined in the European Master Confirmation, will
apply.</xsd:documentation>
</xsd:annotation>
</xsd:element>
</xsd:choice>
<xsd:element name="localJurisdiction" type="Country"
minOccurs="0">
<xsd:annotation>
<xsd:documentation xml:lang="en">Local Jurisdiction is a term
used in the AEJ Master Confirmation, which is used to determine local taxes,
which shall mean taxes, duties, and similar charges imposed by the taxing
authority of the Local Jurisdiction If this element is not present Local
Jurisdiction is Not Applicable.</xsd:documentation>
</xsd:annotation>
</xsd:element>
<xsd:element name="relevantJurisdiction" type="Country"
minOccurs="0">
<xsd:annotation>
<xsd:documentation xml:lang="en">Relevent Jurisdiction is a
term used in the AEJ Master Confirmation, which is used to determine local
taxes, which shall mean taxes, duties and similar charges that would be imposed
by the taxing authority of the Country of Underlyer on a Hypothetical Broker
Dealer assuming the Applicable Hedge Positions are held by its office in the
Relevant Jurisdiction. If this element is not present Relevant Jurisdiction is
Not Applicable.</xsd:documentation>
</xsd:annotation>
</xsd:element>
</xsd:sequence>
</xsd:group>
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