ISLA is pleased to announce the publication of the 2026 Netting Opinions, providing critical legal certainty for the title transfer versions of the Global Master Securities Lending Agreement (GMSLA).
These opinions are now available via the aosphere platform for the benefit of ISLA members who subscribe to ISLA’s Netting Opinions Service. The suite includes the Core Opinion and Appendix 2, covering both the GMSLA 2000 and 2010 versions.
Expanded Jurisdictional & Counterparty Coverage
The 2026 suite marks a significant milestone in global reach and counterparty depth:
- New Jurisdictions: We are pleased to welcome Iceland and Peru to the suite, increasing our total netting coverage to 71 jurisdictions.
- Counterparty Expansion: In response to subscriber demand, coverage has been expanded across 15 key markets—including Australia, Canada, Japan, Saudi Arabia, and the UAE.
- Diverse Entity Types: While all opinions cover companies, banks, and securities dealers, the 2026 update further includes (where possible) pension funds, CCPs, trustees, government bodies, and insurance companies.
As the industry transitions toward digital asset activity , ISLA continues to pave the legal way. Coverage of the Digital Assets Annex (DAA) for the GMSLA has also been significantly expanded. In addition to last year’s coverage of Belgium, England, France, Germany, Luxembourg, and Switzerland, the 2026 opinions now include Hong Kong and the USA.
The Strategic Importance of Netting
Enforceable close-out netting is the bedrock of safe and efficient markets. ISLA’s netting opinions provide the certainty that the close‑out netting provisions in the title‑transfer versions of the GMSLA are legally enforceable, including upon insolvency of a counterparty.
For regulated banks, these opinions are a mandatory pre-condition to:
- Treat multiple transactions as a single net exposure.
- Apply Credit Risk Mitigation (CRM) for regulatory capital calculations.
- Avoid gross exposure recognition, which would materially inflate capital and leverage requirements.
Tina Baker, Head of Legal Services, “ISLA netting opinions are not merely legal comfort documents—they are a core capital-efficiency tool. At a time when regulatory scrutiny on liquidity and leverage is at an all-time high, providing our members with the legal certainty to net exposures is essential for maintaining market liquidity and robust balance sheet management.”
A full matrix listing all 71 jurisdictions, the counterparty types covered in each, and instructions for access can be found here.
