3rd

– 4th

September 2015 London

OTC Derivatives Documentation, Negotiation, Risk and Clearing

Contact: Joe Zepeda, Operational Director, Storm-7 Consulting

Tel: +44(0)7984856066 Email: joe.zepeda@storm-7.com

www.storm-7.com

Your Expert Trainers Rodrigo Zepeda, Co-Founder, Storm-7 Consulting LTD Sol Steinberg, Founder, OTC Partners New York Akber Datoo, Founder, D2 Legal Technology LLP The Conference Programme

Being able to identify all the latest key global regulatory developments affecting over-the-counter (OTC) derivatives documentation is far from easy. This two day intensive intermediate to advanced level course will provide delegates with everything they need to know about the latest global OTC derivatives regulations, including the impact of the EMIR, Dodd-Frank, Basel III, and MiFID II on OTC derivatives documentation. The course will enable delegates to achieve an understanding of all the most relevant documentation issues affecting OTC derivatives, including CCP margin optimisation and risk and collateral analytics. This will also include insights into negotiation and documentation strategies for ISDA® Master Agreements and Collateral and/or Credit Support Documentation, as well as awareness of how OTC Derivatives Clearing Agreements and ISDA® Protocols function, key negotiated terms, and automating OTC Derivatives Documentation processes.

Today's world of centrally-cleared OTFs, SEFs, centrally-cleared and non-centrally cleared OTC derivatives is growing ever more complex, and a comprehensive understanding of regulatory, documentation and risk requirements is now vital for OTC derivatives market counterparties

The Conference Programme

Day 1: Sessions Day 2: Workshops

SESSION 1: Global and EU Regulation: (Basel III, EMIR, and MiFID II)

• EMIR Key Clearing Obligations (FC, NFC+, NFC-, and TC+ entities) and Threshold Calculations, Risk and Reporting Obligations, and ISDA® EMIR Documentation Initiative. • Basel III impact on Counterparty Risk, Qualifying Master Netting Agreements, and Credit Support Documentation. • MiFID II key Concepts and Obligations, MTF, OTF, and CCP trading and clearing models, commodity derivatives framework. • Risk Weights for derivatives and OTC transactions, and Qualifying and Non-Qualifying CCPs.

SESSION 2: US Regulation: (Dodd-Frank, Clearing and Cross-Border Regulatory Harmonization Issues)

• Dodd-Frank updated clearing and reporting obligations, exemptions, and uncleared swaps documentation. • Regulated swap execution on Swap Execution Facilities. • Designated Contract Market clearing via DCO or SCA. • ISDA® Dodd-Frank Documentation Initiative, i.e. Disclosure Statements and Annexes, Top Up Agreement, Representation and Safe Harbour Letters. • Identifying and effectively addressing cross-border regulatory harmonization issues.

SESSION 3: CCP Margin Optimisation, Initial Margin Analytics and CCP Basis Risk Metrics • Centralised collateral optimization and collateral management decision support systems, and margins calls.

• CCP price, CCP risk valuation tools, and forecasting, validating and optimising CCP margin requirements.

• Calculating, analysing, and optimising OTC Initial Margin for non-cleared trades, and cleared trades across multiple CCPs.

SESSION 4: OTC Derivatives Risk Analytics

• Real-time risk calculation engines to identify consolidated risk exposure across OTC counterparties, contracts and collateral. • OTC asset and model analytics libraries, measures and techniques. • Increasing the efficiency and timeliness of the OTC derivatives pre-trade negotiation process. • Automation of Deal Capture, Trade Execution, and Post-Trade Confirmation Valuation and Collateral Exchange. • Addressing Market Risk through enterprise-wide VaR calculator and stress-testing framework.

WORKSHOP 1: OTC Derivatives Documentation, Negotiation and ISDA® Protocols

• 1992 and 2002 ISDA Master Agreement architecture and key provisions. • Short Form and Long Form Confirmations and Master Confirmation Agreements. • Events of Default and Termination Events. • Netting (Settlement, Novation, Close-out). • Valuation mechanics (Market Quotation, Loss Valuation, Close-out Amount). • ISDA® Definitions and ISDA® Protocols.

WORKSHOP 2: Credit Support and Collateral Documentation, Management and Analytics

• 2005 Collateral Guidelines and collateral management practices, guarantees, and re-hypothecation rights and issues. • Key Collateral Documentation (1994 and 2013 Standard Credit Support Annexes (CSA) (Transfer– English Law) (Security

Interest–New York Law) and Swap Collateral Margin Agreement). • Swaps Margin Rules and Independent Amount Segregation. • Collateral analytics, optimization and efficiency.

WORKSHOP 3: OTC Derivatives Documentation Processes and Systems

• The Documentation Process Challenges – the Master Agreement and related annexes. • Document Generation and Assembly Tools • Achieving Straight Through Processing (STP) in the

Confirmations Space. • Managing the Legal Contract Data Requirements. • Business Empowerment using Technology (Natural Language Processing, Enterprise Search, Data Extraction and Classification, Business Intelligence Tools and Cloud Computing).

WORKSHOP 4: OTC Derivatives Clearing Agreements

• CCP and Client Clearing Documentation and common negotiated provisions (Margin, Termination Events, Pre-Default Porting). • Review of Cleared Swap Documentation: – EU ISDA/FIA Cleared Derivatives Execution Agreement (+Addendum). – US FIA-ISDA Cleared Derivatives Execution Agreement (+ Addendum).

ISDA® is a registered trademark of the International Swaps and Derivatives Association, Inc., and this course is not affiliated with, endorsed by, or sponsored by the International Swaps and Derivatives Association, Inc. (ISDA).

Conference Expert Trainer Biographies

Rodrigo Zepeda is an expert consultant who specialises in derivatives and financial services law, regulation, and

compliance. He holds a LLM Masters degree in International and Comparative Business Law, has been an Associate of the Chartered Institute for Securities & Investment since 2004, and has passed the New York Bar Examination. He is a Reviewer for the Journal of Financial Regulation and Compliance and has also published widely in leading industry journals such as the Capco Institute's Journal of Financial Transformation, the Journal of International Banking Law and Regulation, as well as e-books on derivatives law. Noted publications include "Optimizing Risk Allocation for CCPs under the European Market Infrastructure Regulation"; "The ISDA Master Agreement 2012: A Missed Opportunity"; "The ISDA Master Agreement: The Derivatives Risk Management Tool of the 21st Century?"; and "To EU, or not to EU: that is the AIFMD question".

Sol Steinberg is an expert consultant specializing in OTC derivatives markets, including practices relating to

regulation, risk management, market structure, collateral, valuation, and financial technology systems. Sol is the founding partner of his firm 'OTC Partners', which is a boutique value add firm based in New York that specialises in research, content, and business development. OTC Partners has developed a number of leading research reports covering global capital markets, has advised central banks on market dynamics in Singapore, Chile, Peru, Mexico, and Colombia , as well as helping to spearhead the evolution of Chinese OTC derivatives markets in Beijing, Jinan, Quango, and Shenzhen. Sol's extensive professional experience encompasses a senior executive position at LCH.Clearnet and nearly a decade of OTC derivatives product development, risk management, and valuation for Citi. Sol has successfully commercialised data and analytics tools (e.g. SMART tool, Risk Explorer, Global Market Risk, CCP2) and has gained a number of prestigious globally recognised industry awards in the process.

Akber Datoo is founder and managing partner of D2 Legal Technology LLP (D2LT), a fifty-strong boutique consultant

legal data consulting firm. Akber has over 15 years’ experience of derivatives and a blend of both technology and legal perspectives. His background includes a front-office derivatives IT role at UBS, as well as a qualified lawyer working in Allen & Overy’s Derivatives and Structured Finance practice. Akber works with financial institutions to create legal risk frameworks to ensure regulatory compliance and business optimisation, including the provision of strategic change management advice relating to process and systems for contract data modelling, document assembly, search, information retrieval and legal opinion management. He has been published in numerous leading industry journals such as the Journal of Securities Operations & Custody (Legal contract data: The new reference data challenge for financial firms).

Course Suitable for

Analysts

Collateral Management Function

Compliance Officers and Managers

Credit and Legal Professionals

Dealers

Fund Managers

In-House Legal Counsel

ISDA Negotiators

OTC Derivatives Documentation Managers

OTC Derivatives End-Users

Risk Officers and Managers

Treasury Function

Register online at: www.storm-7.com or contact Joe Zepeda:

Tel: +44 (0)7984856066

Email: joe.zepeda@storm-7.com

Key Benefits

Advanced knowledge and understanding of key 1992 and 2002 Master Agreement provisions; negotiating techniques; credit support arrangements; and OTC derivatives central clearing in the EU and the US

Extensive pre-course questionnaire to identify delegate's key course objectives

Lenovo 8" Yoga Tablet pre-loaded with course presentations and documentation to take-away

Comprehensive course documentation.

Post-course trainer follow-up to guarantee all key course objectives have been met

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