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A counterparty agreement is a legal contract between two parties that outlines the terms of a financial transaction or business arrangement. It specifies the rights and obligations of each party, including payment terms, delivery conditions, and risk management provisions. Such agreements are crucial in mitigating risks associated with counterparty default, ensuring both parties are protected throughout the transaction process. They are commonly used in various financial markets, including derivatives and trading contracts.

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4w ago

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What is the counterparty risk in a futures contract?

Counterparty risk is the risk that your counterparty will not be able to honour the agreement. If it is an OTC future, you must assess the ability to fulfil the futures contract, whereas if you trade it on exchange, the exchange will guarantee fulfilment.


What is the difference between credit support annex under new york law and credit support annex under English law?

The New York law form of CSA is a "security interest" form where possession of the collateral is maintained by the transfer and subject to a security interest granted to the counterparty. The English law form of CSA is a "transfer" form where the collateral is transferred to the counterparty (or an escrow agent) absolutely subject to an agreement to retransfer equivalent securities and it is not intended to create a security interest.


What is a Give up agreement?

There is no clear answer to that question. However, it can be said that a "give up" is either the process of a party replacing another contractual party in a contractual relationship thus assuming all rights and obligations or it is a service that banks offer their clients for example in regard to FX transactions where client is allowed to trade with a counterparty in the name of the bank. The reason for such a structure might be that the client gets better conditions or market access. The Agreement of course then deals with the questions around mentioned issues.


What is bank loan exposure?

The amount which the bank may lose in case of losses incurred due to risks taken, e.g. in case of a borrower's or counterparty's default.


What rhymes with vehement?

2 syllables: bement 3 syllables: agreement 4 syllables: case agreement, disagreement, in agreement, sales agreement 5 syllables: gender agreement, labor agreement, merger agreement, number agreement, person agreement, purchase agreement, working agreement, written agreement 6 syllables: collective agreement, employment agreement, general agreement, gentlemen's agreement, licensing agreement 7 syllables: acquisition agreement, articles of agreement, distribution agreement


What is a forwardbased contract?

A forwardbased contract obligates one party to buy and a counterparty to sell an underlying asset, such as foreign currency or a commodity, with equal risk at a future date at an agreed-on price.


How do you certify a letter of agreement between two people?

By having the agreement notarized.By having the agreement notarized.By having the agreement notarized.By having the agreement notarized.


What is the gentleman agreement?

A gentleman's agreement is an agreement which is made on each person's word of honor. It is not a legal agreement, but a verbal agreement which can be enforceable in a court of law.


What is Gentleman Agreement?

A gentleman's agreement is an agreement which is made on each person's word of honor. It is not a legal agreement, but a verbal agreement which can be enforceable in a court of law.


What does assent?

agreement agreement


What is a bilateral agreement?

what is a bilateral agreement?


Which word has the closest meaning to the word treaty?

Agreement