Template:Csa Settlement Day summ: Difference between revisions
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The {{ | ====OG CSAs==== | ||
The Settlement Day is the day on which the Transfer of Eligible Credit Support has to land by. It can be a surprisingly long time after the demand was made, if you happen to be delivering odd securities traded on some weird market — that is less likely to be a thing now in these days of cash-collateralised VM CSAs of course, but for the OG CSAs it was a least possible. | |||
====Modern CSAs==== | |||
The {{{{{1}}}|Settlement Day}} does not do much lifting in the {{vmcsa}} — the heavy lifting role has been largely usurped by the new {{{{{1}}}|Regular Settlement Day}}. | |||
Which is mighty confusing, since the “{{ | Which is mighty confusing, since the “{{{{{1}}}|Regular Settlement Day}}” in the ''new'' VM CSA is the same as the “{{csaprov|Settlement Day}}” in the old one, ''but'' there is also a “{{{{{1}}}|Settlement Day}}” in the new CSA, which isn’t anything like the old one and is really only there for voluntary exchanges of already collateral under {{{{{1}}}|3(c)}} — hardly a big deal since you’ll mainly be posting [[cash]] anyway — and distributions of interest and income under {{{{{1}}}|5(c)(i)}}. | ||
{{icds}} no doubt had its priorities and imperatives to achieve here — who doesn’t? — but they don’t seem to have had much to do with helping beleaguered doc-jocks understand what is going on. | {{icds}} no doubt had its priorities and imperatives to achieve here — who doesn’t? — but they don’t seem to have had much to do with helping beleaguered doc-jocks understand what is going on. | ||
Latest revision as of 10:46, 17 June 2024
OG CSAs
The Settlement Day is the day on which the Transfer of Eligible Credit Support has to land by. It can be a surprisingly long time after the demand was made, if you happen to be delivering odd securities traded on some weird market — that is less likely to be a thing now in these days of cash-collateralised VM CSAs of course, but for the OG CSAs it was a least possible.
Modern CSAs
The {{{{{1}}}|Settlement Day}} does not do much lifting in the 2016 VM CSA — the heavy lifting role has been largely usurped by the new {{{{{1}}}|Regular Settlement Day}}.
Which is mighty confusing, since the “{{{{{1}}}|Regular Settlement Day}}” in the new VM CSA is the same as the “Settlement Day” in the old one, but there is also a “{{{{{1}}}|Settlement Day}}” in the new CSA, which isn’t anything like the old one and is really only there for voluntary exchanges of already collateral under {{{{{1}}}|3(c)}} — hardly a big deal since you’ll mainly be posting cash anyway — and distributions of interest and income under {{{{{1}}}|5(c)(i)}}.
ISDA’s crack drafting squad™ no doubt had its priorities and imperatives to achieve here — who doesn’t? — but they don’t seem to have had much to do with helping beleaguered doc-jocks understand what is going on.