swap entered into by a covered swap entity on or after the relevant compliance date set forth in paragraph (e) of this section. Nothing in this part is intended to prevent a covered swap entity from collecting margin in amounts greater than are required under this part. * * * * * Section 624.2 is amended by adding definitions for swap “Covered entity” and in alphabetical order to read as follows: “Investment grade” §624.2 Definitions. * * * * * Covered swap entity means any institution chartered under the Farm Credit Act of 1971, as amended (12 U.S.C. 2001 et seq.) that is a swap entity, or any other entity that the FCA determines. * * * * * Investment grade means the issuer of a security has an adequate capacity to meet financial commitments under the security for the projected life of the asset or exposure. An issuer has an adequate capacity to meet financial commitments if the risk of default by the obligor is low and the full and timely repayment of principal and interest is expected. * * * * * §624.6 [Amended] Section 624.6 is amended by removing wherever it appears “[RESERVED]”
swap entered into by a covered swap entity on or after the relevant compliance date set forth in paragraph (e) of this section. Nothing in this part is intended to prevent a covered swap entity from collecting margin in amounts greater than are required under this part. * * * * * Section 624.2 is amended by adding definitions for “Covered swap entity” and “Investment grade” in alphabetical order to read as follows: §624.2 Definitions. * * * * * Covered swap entity means any institution chartered under the Farm Credit Act of 1971, as amended (12 U.S.C. 2001 et seq.) that is a swap entity, or any other entity that the FCA determines. * * * * * Investment grade means the issuer of a security has an adequate capacity to meet financial commitments under the security for the projected life of the asset or exposure. An issuer has an adequate capacity to meet financial commitments if the risk of default by the obligor is low and the full and timely repayment of principal and interest is expected. * * * * * §624.6 [Amended] Section 624.6 is amended by removing “[RESERVED]” wherever it appears