Scope of the ISDA master agreement — sections 1 (interpretation) and 2 (obligations)

This guidance note describes in detail sections 1 and 2 of the ISDA Master Agreement to assist in understanding each section. This will assist when entering into an ISDA agreement.

Section 1 of the ISDA Master Agreement sets out the hierarchy of the master agreement, schedule, and confirmation and elaborates on the single agreement concept. In section 2 (obligations), the parties make the commitment to pay or deliver all that is required of them in each confirmation.

See Scope of the ISDA master agreement — sections 1 (interpretation) and 2(obligations).