On 17 January 2024, the International Swaps and Derivatives Association, Inc. (ISDA) launched a new clause library – this time for sustainability-linked derivatives (SLDs) – that sets out template contractual terms and related definitions for SLD transactions. The SLD Clause Library introduces standardized provisions for SLDs to meet the growing market demand for derivatives products linked to environmental, social and governance (ESG) goals, enhancing the commercial viability of SLDs as an effective financial tool to facilitate the delivery of sustainable initiatives.

As is well known, LIBOR will cease to be published on 31 December 2021 (for all currencies and tenors other than the most commonly used USD settings) and 30 June 2023 (for those remaining USD settings). Financial institutions must also work towards earlier LIBOR transition deadlines set for them by…

On 5 March 2021, the UK Financial Conduct Authority (FCA) formally announced the dates of the future cessation or loss of representativeness of all 35 LIBOR settings currently published by ICE Benchmark Administration Limited (IBA).
This announcement:
constitutes an index cessation event under the International Swaps and Derivatives Association (ISDA) IBOR fallbacks supplement and the ISDA 2020 IBOR fallbacks protocol for all LIBOR settings
may trigger contractual requirements in certain LIBOR fallback provisions
fixes the spread adjustments in the ISDA Fallbacks Supplement and ISDA 2020 IBOR Fallbacks Protocol

In brief On 23 October 2020, ISDA launched the ISDA 2020 Fallbacks Protocol (the IBOR protocol) and the ISDA Fallbacks Supplement to the 2006 ISDA Definitions (the IBOR Supplement). In this alert we provide a summary of the protocol and supplement, its implications and suggested next steps for firms regarding…