ISDA has published a second Recommendation for FpML Version 5.9

The International Swaps and Derivatives Association, Inc. (ISDA) has published a second Recommendation for Financial products Markup Language (FpML) version 5.9. The second Recommendation includes the below corrections, compared to first 5.9 Recommendation which was published September 2016. FpML 5.9 Recommendation 2 is available on the FpML website, in the Specifications section at: http://www.fpml.org/spec/fpml-5-9-7-rec-2/ More information on the timing and coverage of future versions can be found in the FpML roadmap: http://www.fpml.org/roadmap.pdf Please send us any comments by filling in a form at http://www.fpml.org/issues. The FpML Team Changes in FpML 5-9-7-REC-2 compared to FpML 5-9-6-REC-1 published September 20, 2016:

• • Recordkeeping view:Commodity Derivatives:
    • Standards Committee approved the following RPTWG recommended changes in the commodityWeatherOption and commoditySwap:
      • Within the WeatherIndexDatacomplex type, the following components were made mandatory:
        • 'referenceLevel/amount'and 'referenceLevel/referenceLevelUnit'. Rationale: 'referenceLevel' is a key to calculating payoffs.
        • 'weatherStation'. Rationale: this holds critical information, as this is the location of the weather being traded.
        • Note:the above changes are incompatible with the Recordkeeping view of the earlier specifications where these models were available.
      • Within commodityWeatherOption.modelgroup, the following elements were made optional:
        • 'weatherIndexData'. Rationale: although, the fields within the 'weatherIndexData'are mandatory in the FpML Confirmation view, FpML is not currently used for confirming the commodity product, and therefore it is not known if these fields are available for reporting of the commodity products.
        • 'exercise'. Rationale: 1) exercise/paymentDates (only mandatory field within 'CommodityExercise' component) and is settlement related. 2) To be also consistent with commodityOption product, where the RPTWG did not recommend making 'exercise' mandatory.
  • Conformation view: Made reportingRegime/notionalType an optional element in Confirmation view. Rationale: Correction. The change is agreed by the RPTWG and approved by the Standards Committee.
  • All views (except Legal and Pretrade view):
    • Changed the ESMA schemes’ URIs to be in-line with the FpML Architectural guidelines (xml files created by FpML are internal coding schemes, even though the source of the values is external). The change is agreed by the AWG, RPTWG and approved by the Standards Committee.
      • Within “OtcClassification” complex type, from http://www.fpml.org/coding-scheme/external/esma/mifir/otc-classification to http://www.fpml.org/coding-scheme/esma-mifir-otc-classification
      • Within “ShortSale” complex type, from http://www.fpml.org/coding-scheme/external/esma/mifir/short-sale to http://www.fpml.org/coding-scheme/esma-mifir-short-sale
      • Within “TradingWaiver” complex type, from http://www.fpml.org/coding-scheme/external/esma/mifir/trading-waiver to http://www.fpml.org/coding-scheme/esma-mifir-trading-waiver
    •  Commercial Loan:
      • Within "FloatingRateIndexLoan" type, renamed floatingRateIndexScheme's default URI from "www.fpml.org/coding-scheme/floating-rate-index-loan" to "www.fpml.org/coding-scheme/loan-floating-rate-index" (where "loan" - prefix of "floating-rate-index")
      • Note: the above change is incompatible with FpML-5-8REC. The change is approved by the Standards Committee, following the agreement of the FpML AWG on the FpML coding schemes' naming convention
    • Updated FpML examples as a result of the FpML coding schemes' naming convention change. Within the examples, renamed coding schemes’ URIs:
      • entity-classification-esma to esma-entity-classification.
      • entity-classification-csa-dealer-status to csa-dealer-status-entity-classification, entity-classification-csa-local-party-status to csa-local-party-status-entity-classification.
      • entity-classification-sec to sec-entity-classification
  • Pretrade view: Products:
    • Removed Repo, FX Targets and FX Accruals sub-schema files from to Pretrade view in 5-9.
  • All views: General clean-up
    • Removed "legal" view script from "ReportingRegime" complex type in the master schema. Rationale: 'view="legal"' script is unnecessary within "ReportingRegime" since the type does not appear in the Legal view of the schema.
    • Removed orphan types from schema in the Confirmation, Legal, Recordkeeping, and Transparency views