ISDA Master Agreement: A Practical Guide

Summary

This practice note discusses the International Swaps and Derivatives Association's (ISDA) published standardized documentation that sets forth a framework for documenting most over-the-counter (OTC) derivative transactions. This documentation is used by operating companies and financial institutions for hedging commodity, interest rate, currency, and other risks that may affect their business operations. In addition, hedge funds, banks, and other entities use this documentation to make investments or speculate on commodities, equities, bonds, interest rates, currencies, and other economic assets.