instrumentTradeDetails

[apjr1970]

Hi. I’m building an internal messaging protocol based on FpML Recordkeeping view. This effort is driven by our up-coming Dodd Frank reporting obligations. I have a couple of questions raised by our developers as they begin to construct the messages using the FpML based standard. Hopefully someone out there is able to help! The underlyingAsset element within product instrumentTradeDetails does not have a substitutable “deposit” element. Is there a reason for this or is it an omission? Additionally, the ISDA product taxonomy to be used within the productType element does not cover bonds, deposits or loans. What should be populated here in the cases where instrumentTradeDetails is used with an underlying asset of bond, loan or (potentially) deposit? Thanks, Andy.

[mgratacos]

Hi Andy, For deposits you should use the termDeposit FpML product. This is a “first-class” product such as swap or creditDefaultSwap, etc. It is contained within the fpml-fx.xsd (if I remember correctly). You should not use the instrumentTradeDetails. instrumentTradeDetails is to support security transactions such as the ones related to an physical settlement of an option, for example. I am not sure I understand the second part of your question. I think the ISDA Taxonomy refers to OTC derivatives products only. The products you are referring are security products (bond, loans), not OTC, so not in the scope of the taxonomy. Hope this helps. Regards, Marc tradeheader.com

[apjr1970]

Hi Marc. Thanks for the reply. We’ll use termDeposit. Regarding the second part of the question. Given that productType is to be populated using the ISDA product taxonomy we though that we had a problem given that the instrumentTradeDetails/productType element is mandatory ([url=http://www.fpml.org/spec/fpml-5-3-3-wd-3/html/recordkeeping/schemaDocumentation/schemas/fpml-doc-5-3_xsd/elements/instrumentTradeDetails.html]here[/url]). Either the taxonomy needed to be updated or the element needs to be optional. I can see its now optional ([url=http://www.fpml.org/spec/fpml-5-3-4-lcwd-1/html/recordkeeping/schemaDocumentation/schemas/fpml-doc-5-3_xsd/elements/instrumentTradeDetails.html]here[/url]). Thanks for your guidance. Thanks, Andy.

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