[This message was posted by Matt Simpson of CME Group 
<[email protected]> to the "General Q/A" discussion forum at 
http://fixprotocol.org/discuss/22. You can reply to it on-line at 
http://fixprotocol.org/discuss/read/6df3d6f8 - PLEASE DO NOT REPLY BY MAIL.]

Dean - 

The intent is to use the existing percent-of-par PriceType enum in the same way 
it is used for fixed income. While a CDS instrument has the concept of an 
underlying which is the bond or index on which the CDS is based the price 
itself is stated in conventional "percent of par" terms where the ratio of deal 
spread to coupon rate deterimines the percent of par value. This is the price 
of the CDS instrument rather than the underlying. Because of the consistent use 
I think we are on solid ground using a single enum called "Percentage (i.e. 
percent of par)"

Regarding the CpnRt the examples in the proposal will be changed to show the 
decimalized format. 

Matt
> 1) I suggest using slightly different terminology than "percent-of-par"
>    which collides with fixed income. How about "percent of par of
>    underlying" and require PriceType with that value.
> 
> 2) The examples needs CpnRt(223) to be FIXed to ".02" and ".0155".
> 
> > The Global Technical Committee has reviewed and preliminary approved
> > the Cleared Credit Default Swap proposal submitted by the CME. The
> > document now enters a 15 day public comment period in which public
> > review and feedback is encouraged. Once the Public Comment period
> > closes, the Global Technical Governance Board will meet to review
> > public comments before final approval.
> >
> > Please post feedback, comments, and questions as replies to this
> > discussion thread.
> >
> > A link to the proposal can be found at http://www.fixprotocol.org/docum-
> > ts/4282/FIX%20Gap%20Analysis%20Support%20for%20CME%20Cleared%20Credit-
> > %20Default%20Swaps_v03.doc
> >
> > The public comment period ends on January 6, 2009.


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