In an ambitious but much needed move, ISDA has announced its Symbology project, to develop a global standard derivatives product identification system.
The International Swaps and Derivatives Association has launched a new industry data project, aimed at developing an open-source standard derivatives product identification system that can be applied consistently and comprehensively across all derivatives facilities, including trading venues, clearing houses, repositories and other infrastructures. A common methodology for classifying and identifying derivatives instruments across all platforms will also cut complexity and costs for market participants that need to connect to multiple trading venues, and simplify the distribution of liquidity. The consortium will initially work to produce globally standardised symbols for credit, rates and equity derivatives in 2015. This project leverages the work and existing initiatives that some participants have previously been involved in.