Common use of Collateral Withdrawal Clause in Contracts

Collateral Withdrawal. In a Collateral withdrawal, the buyer instructs to return (the seller instructs to receive) securities due to excess of collateral following mark to market valuation. - One delivery free message should be sent by the buyer, one receipt by the seller. - The message will be identified as part of collateral adjustment using the settlement transaction indicator field with the appropriate collateral indication. The Repo sequence will allow for the identification of the repo contract being topped up In addition the Repurchase type field will indicate that the transaction is for a Withdrawal. - The message will be linked to the original instruction using the Repo reference and/or a linkage sequence with the message reference of the original instruction. The table below provides a summary representation of business element requirements for the amendment message types outlined above.

Collateral Withdrawal. ‌ In a Collateral withdrawal, the buyer instructs to return (the seller instructs to receive) securities due to excess of collateral following mark to market valuation. - One delivery free message should be sent by the buyer, one receipt by the seller. - The message will be identified as part of collateral adjustment using the settlement transaction indicator field with the appropriate collateral indication. The Repo sequence will allow for the identification of the repo contract being topped up In addition the Repurchase type field will indicate that the transaction is for a Withdrawal. - The message will be linked to the original instruction using the Repo reference and/or a linkage sequence with the message reference of the original instruction. The table below provides a summary representation of business element requirements for the amendment message types outlined above.

Collateral Withdrawal. In a Collateral withdrawal, the buyer instructs to return (the seller instructs to receive) securities due to excess of collateral following mark to market valuation. - One delivery free message should be sent by the buyer, one receipt by the seller. - The message will be identified as part of collateral adjustment using the settlement transaction indicator field with the appropriate collateral indication. The Repo sequence will allow for the identification of the repo contract being topped up In addition the Repurchase type field will indicate that the transaction is for a Withdrawal. - The message will be linked to the original instruction using the Repo reference and/or a linkage sequence with the message reference of the original instruction. The table below provides a summary representation of business element requirements for the amendment message types outlined above.