The initial (IM) and variation margin (VM) requirements for all swaps that are not cleared by a registered derivatives clearing organization (known as uncleared swaps). This reflects the amount of initial margin that a swap dealer would be required to collect from each party to a swap for each outstanding swap position to which the swap dealer is related.

A swap dealer must take into consideration all swap positions in the calculation of the uncleared swap margin amount, including swaps that are exempt or excluded from applicable margin regulations for uncleared swaps by relevant exchange commissions. This also includes exempt foreign exchange (FX) swaps or foreign exchange forwards, or netting set of swaps or foreign exchange swaps, for each counterparty, as if that counterparty was an unaffiliated swap dealer. Additionally, the uncleared swap margin amount is calculated taking into consideration that a swap dealer may not exclude the initial margin threshold amount or minimum transfer amount.