Securities Clearing Agreement

12. dubna 2021 | Vít Zemčík | Nezařazené | Sdílet na Facebooku

Q204.7: What is the impact of the reporting structure of the implementing parties on the relationship with the agreements to conclude and transfer qualified service providers (QSRs)? Compensation can have a large number of meanings depending on the instrument to which it is bound. In the case of registration compensation, it is the process that is related to the transfer to the recipient`s account of the funds promised at the time of the cheque. Some banks deposit holding assets that are deposited by cheque, as the transfer is not immediate and may take time to process. Q700.1: Should members report trading foreign securities to FINRA? A206.15: As stated in FAQ 206.14, FINRA will exempt companies from the obligation to submit band and compensation reports for the same trade from the same FINRA facility, where FINRA has announced a widespread systemic problem for which companies should refer to their „widespread failure response procedures“. Therefore, an entity may, in this limited case, provide its FINRA secondary facility with a band report and a compensation report for the same trade at its primary FINRA facility. Q404.1: Member BD1 trades multiple trades to execute a customer order, then negotiates with the customer at a price corresponding to the weighted average cost of initial transactions, plus a net difference under a net trading agreement with its customer. How should BD1 report the trade with its customer? A701.1: The location and manner in which trade takes place determines whether and how trade should be reported. Because unlisted securities are listed on a national stock exchange, they are not covered by the definition of „OTC Equity Securities“ under Rule 6620 Series. Therefore, transactions on dual-listed securities should never be reported to the ORF. When a member makes an over-the-counter transaction on a dual-exchange-traded security, the transaction must be reported to a TRF or ADF.

When a member conducts a trading of a stock listed on the exchange twice listed on currencies and the transactions are declared through that exchange, the member is not required to declare the trading of FINRA, since the trading was carried out „on or by exchange“, i.e. currencies. See rules 6282 (f), 6380A (e) and 6380B (e). A302.1: For the purposes of the OTC stock transaction report, a „risk-free return“ transaction is a transaction in which a member, after receiving a contract to purchase (sell) a security, acquires (sells) the guarantee as a capital purchaser and fulfills the initial order per sale (purchase) as a price associated with the same price (the compensatory „risk-free amount“). Typically, a risk-free main transaction consists of two orders, the execution of one contract depending on the receipt or execution of the other; Therefore, there is no „risk“ as a result of interdependent transactions. See 99-65 (August 1999). A200.1: Yes. A member may authorize another member to notify and block transactions on his behalf to a TRF, ADF or ORF, provided that both parties have entered into an agreement (a „give-up“ agreement) as defined by the FINRA (FINRA Transparency Services Uniform Reporting Agreement) and have submitted this agreement to the FINA FACILITY (or entities) for which the relationship „give-up“ applies.

Komentáře jsou uzavřené.