ISDA's Novation Protocol, which defines how to change the counterparty to a trade without unwinding the transaction, will be implemented Oct. 24. So far, more than 40 institutions have signed up to the protocol, however this only includes three hedge funds. Louise Marshall, spokesperson for ISDA, said talks are being held with about 30 more funds and she expects them to adhere soon. Jonathan Moulds, ISDA chairman and international head of global markets at Bank of America, said standardization of trading practices needs to be pushed through more quickly for the market to grow.
Date Set For Novation Protocol
