Skip to Content
Whole SectionText only Print Print Manager Link


Past version: effective up to Dec 31 2010.
To view other versions open the versions tab on the right.

A counterparty is the other person in a contract. Therefore, if bank A buys a security issued by company B from broker C, bank A has counterparty risk to broker C and Issuer Risk in respect of company B. A counterparty may include any legal person or arrangement, but generally would mean the following:

(a) any individual; or
(b) any unincorporated body of persons; or
(c) any company which is not a member of a group; or
(d) any group of companies; or
(e) any government of a State or any public bodies, local authorities or nationalised industries of a State.
(2 Versions)
Up to Dec 31 2010Jan 1 2011 onwards
Back to top