In brief
On 16 July 2025, the International Swaps and Derivatives Association ("ISDA") launched the ISDA Notices Hub and the ISDA 2025 Notices Hub Protocol ("Notices Hub Protocol"). ISDA and S&P Global have developed the ISDA Notices Hub to address the challenges of effectively delivering notices under the ISDA Master Agreement. Issues can arise where an ISDA Master Agreement contains out-of-date address details for a party or if circumstances prevent the physical delivery of notices. Lockdowns, war conditions and recent market volatility have highlighted the risks that parties face in relying on physical methods to deliver critical notices in a timely fashion.
The ISDA Notices Hub provides a solution to these issues, enabling matched counterparties to instantly deliver and receive termination-related notices from a secure online platform.
In more detail
What does the ISDA Notices Hub do?
- The ISDA Notices Hub will be a "golden source" of address information. Users of the Hub will maintain and update their address information exclusively through the Hub itself. This information will supersede any address information previously provided by the user, including the information set out in a schedule to an ISDA Master Agreement.
- The ISDA Notices Hub has two levels of functionality:
- "Address Only" is used to update address details in the Hub.
- "Full Functionality" is used to update address details and to send notices.
- Users will be required to "match" with their counterparties on the Hub platform by sending "match invitations" and including details of the proposed functionality of the relationship. The two Hub users will only be "matched" on the agreed functionality level when the counterparty has accepted the invitation. Users can adjust their address details on a counterparty-by-counterparty basis.
- Since the ISDA Notices Hub went live, only non-dealers have been able to send a match invitation. However, a subsequent release will add this functionality for dealers as well.
- The ISDA Notices Hub will facilitate the digital delivery of notices via the Hub platform instantaneously. Initially, under the "Phase 1" rollout, this service will be limited to sending and receiving termination notices under sections 5 and 6 of the ISDA Master Agreement, together with any related notice of set-off, reservation of rights or waiver. Users will continue to be able to deliver these types of notices through other agreed methods.
- Users of the hub will also be able to view the address details of their matched counterparties, which can be used to deliver a notice in physical form. This is not limited to termination notices under Section 5 and Section 6 of the ISDA Master Agreement.
- Notices sent via the ISDA Notices Hub will be deemed effective once they are "made available" to the recipient, which is determined by a definitive time and date stamp displayed on the Hub. Data will be available to prove the delivery of notices via the Hub platform.
- Recipients of notices can pre-populate an "escalation tree" of individuals and groups to be alerted to the receipt of a notice by their institution via the Hub platform.
- The ISDA Notices Hub is free for buy-side firms, and dealers benefit from a discounted rate for the first two years of operation.
The Notices Hub Protocol: amending ISDA agreements
- The Notices Hub Protocol enables parties to ISDA Master Agreements to amend their terms to allow for the use of the ISDA Notices Hub platform. For the first module of the ISDA Notices Hub ("Notices Hub Module #1"), the 1992 and 2002 ISDA Master Agreements (including those entered into by way of long-form confirmation) are covered.
- The Notices Hub Protocol only requires a single up-front adherence. One up-front adherence allows users to match in respect of present and future ISDA Notices Hub modules. However adherence to the ISDA Notices Hub Protocol will not in and of itself give effect to any amendments outlined in an ISDA Notices Hub module. To implement the changes from a specific module, counterparties must also match on the Hub for that module.
- ISDA intends to periodically publish additional individual modules to extend the functionality of the ISDA Notices Hub (e.g., to include the ability to cover a broader range of industry-standard master agreements and/or a broader range of notices).
- Users can adopt a new ISDA Notices Hub module with additional functionality by "matching" with their counterparties in respect of that ISDA Notices Hub module on the ISDA Notices Hub.
- Investment and asset managers acting on behalf of one or more principals or funds may adhere to the Notices Hub Protocol on behalf of clients through one of these options:
i. On behalf of all of the clients that it represents
ii. On behalf of all of the clients that it represents except for those specifically excluded from adherence
iii. On behalf of a specified subset of the clients that it represents - An "Adhering Party" in the Notices Hub Protocol refers to the relevant principal (i.e., the client on whose behalf an agent acts), and not the relevant agent. An investment manager may also separately adhere to the Notices Hub Protocol on its own behalf.
- Adhering to the Notices Hub Protocol will be free.
- If two parties wish to use the ISDA Notices Hub but have not adhered — and do not intend to adhere — to the Notices Hub Protocol, ISDA has provided suggested language to be included in their covered agreements. The amendments will then take effect when the parties follow the steps for matching in respect of the relevant ISDA Notices Hub module.
Does it work in all jurisdictions?
- ISDA has published legal opinions for each of the governing law jurisdictions for which it publishes ISDA Master Agreements: (1) England & Wales; (2) New York; (3) France; and (4) Ireland. ISDA has also commissioned legal opinions in other non-governing law priority jurisdictions (including Japan, Canada, Australia, China, Singapore, Germany, Belgium, Italy, Netherlands, Spain, Switzerland and Hong Kong) to cover the ISDA Notices Hub. Other jurisdictions are expected to follow in subsequent phases.
- The opinions cover whether the ISDA Notices Hub would be treated as an effective means of updating physical notice information and whether a notice delivered on the "made available" standard by means of the ISDA Notices Hub would be treated as an effective means of delivery, among other issues.
Contact our derivatives team
All market participants should consider onboarding to the ISDA Notices Hub platform and adhering to the Notices Hub Protocol. For further information, contact any member of Baker McKenzie's Global Derivatives Team.