ISDA Initiates Tender Process for an ISDA SIMM™ Crowdsourcing Utility

ISDA launched a tender process to select a third party to build and operate a crowdsourcing utility for the ISDA Standard Initial Margin Model ("ISDA SIMM^TM").

The crowdsourcing utility is being developed as part of the ISDA Working Group on Margining Requirements initiative. The utility is intended "to aggregate and compile risk data to enable market participants to implement the ISDA SIMM^TM consistently."

According to ISDA, the utility would provide value by, among other things, allowing its users to utilize the results of a consensus rather than the users' own internal determination of risk buckets and weightings.

See: ISDA Announcement.