June 7 (Bloomberg) -- The International Swaps & Derivatives Association said it will partner with Markit Group Ltd. to develop a system enabling counterparties to amend over-the- counter derivatives documentation in order to help compliance with Dodd-Frank regulations.
ISDA said in a statement today that it expects the system, described as a “technology-based solution,” to be expanded to work with regulations in other jurisdictions.
The 2010 Dodd-Frank Act is the most sweeping overhaul of financial rules in the U.S. since the 1930s and, like regulations elsewhere in the world, is an attempt to prevent a repeat of the worst financial crisis since the Great Depression.
Some dealers in the OTC derivatives market work with more than 10,000 counterparties on transactions, which “creates significant levels of legal and administrative complexity and the potential for duplication of efforts as firms attempt to comply with the new rules,” ISDA said in the statement.
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