Template:Nutshell GMRA BSA 3: Difference between revisions
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(c) '''{{gmraprov|Sell Back Price}}''': In a {{gmraprov|Buy/Sell Back Transaction}} the parties must also agree and record in a {{gmraprov|Confirmation}} the {{gmraprov|Sell Back Price}} and the {{gmraprov|Pricing Rate}} that will apply on the {{gmraprov|Repurchase Date}}.<br> | (c) '''{{gmraprov|Sell Back Price}}''': In a {{gmraprov|Buy/Sell Back Transaction}} the parties must also agree and record in a {{gmraprov|Confirmation}} the {{gmraprov|Sell Back Price}} and the {{gmraprov|Pricing Rate}} that will apply on the {{gmraprov|Repurchase Date}}.<br> | ||
(d) '''No termination on demand''': {{gmraprov|Buy/Sell Back Transaction}}s may not be terminated on demand. <br> | (d) '''No termination on demand''': {{gmraprov|Buy/Sell Back Transaction}}s may not be terminated on demand. <br> | ||
(e) ''' | (e) '''Exclusion of Accrued Interest''': The {{gmraprov|Purchase Price}} and the {{gmraprov|Sell Back Price}} in a {{gmraprov|Buy/Sell Back Transaction}} will both be quoted exclusive of {{gmraprov|Accrued Interest}}. <br> | ||
(f) Under paragraph {{gmraprov|3(c)}} of the {{gmraprov|Agreement}}, for a {{gmraprov|Buy/Sell Back Transaction}}, the {{gmraprov|Seller}} will transfer {{gmraprov|Purchased Securities}} to {{gmraprov|Buyer}} against the payment of the {{gmraprov|Purchase Price}} plus {{gmraprov|Accrued Interest | (f) '''Initial settlement''': Under paragraph {{gmraprov|3(c)}} of the {{gmraprov|Agreement}}, for a {{gmraprov|Buy/Sell Back Transaction}}, the {{gmraprov|Seller}} will transfer {{gmraprov|Purchased Securities}} to {{gmraprov|Buyer}} against the payment of the {{gmraprov|Purchase Price}} plus {{gmraprov|Accrued Interest}}. <br> | ||
(g) Paragraph {{gmraprov|3(f)}} of the {{gmraprov|Agreement}} will not apply | (g) '''Termination settlement''': Paragraph {{gmraprov|3(f)}} of the {{gmraprov|Agreement}} will not apply. Instead, a {{gmraprov|Buy/Sell Back Transaction}} will terminate on the {{gmraprov|Repurchase Date}} by transfer to {{gmraprov|Seller}} of {{gmraprov|Equivalent Securities}} against the payment by {{gmraprov|Seller}} of: | ||
:(i) where the {{gmraprov|Repurchase Date}} is the originally scheduled date, the {{gmraprov|Sell Back Price}} described in paragraph [[BSA 2 - GMRA Provision|2(iii)(x)]] of this Annex plus {{gmraprov|Accrued Interest}} to the {{gmslaprov|Repurchase Date}}; and | :(i) where the {{gmraprov|Repurchase Date}} is the originally scheduled date, the {{gmraprov|Sell Back Price}} described in paragraph [[BSA 2 - GMRA Provision|2(iii)(x)]] of this Annex plus {{gmraprov|Accrued Interest}} to the {{gmslaprov|Repurchase Date}}; and | ||
:(ii) in any other case, the {{gmraprov|Sell Back Price}} referred to in paragraph [[BSA 2 - GMRA Provision|2(iii)(y)]] of this [[Buy/Sellback Annex - GMRA Provision|Annex]]. <br> | :(ii) in any other case, the {{gmraprov|Sell Back Price}} referred to in paragraph [[BSA 2 - GMRA Provision|2(iii)(y)]] of this [[Buy/Sellback Annex - GMRA Provision|Annex]]. <br> | ||
Latest revision as of 10:12, 1 June 2022
BSA 3 Initiation; Confirmation; Termination
(a) Designation: The parties will identify whether a Transaction is a Repurchase Transaction or a Buy/Sell Back Transaction at the time of trading it, and will specify that in the Confirmation.
(b) Form of Confirmation: The Confirmation for a Buy/Sell Back Transaction may be a single document covering both transactions of the Buy/Sell Back Transaction, or separate Confirmations for each transaction. The Confirmations may be in the form of Annex II (except item 10, because the Transaction will not be terminable on demand).
(c) Sell Back Price: In a Buy/Sell Back Transaction the parties must also agree and record in a Confirmation the Sell Back Price and the Pricing Rate that will apply on the Repurchase Date.
(d) No termination on demand: Buy/Sell Back Transactions may not be terminated on demand.
(e) Exclusion of Accrued Interest: The Purchase Price and the Sell Back Price in a Buy/Sell Back Transaction will both be quoted exclusive of Accrued Interest.
(f) Initial settlement: Under paragraph 3(c) of the Agreement, for a Buy/Sell Back Transaction, the Seller will transfer Purchased Securities to Buyer against the payment of the Purchase Price plus Accrued Interest.
(g) Termination settlement: Paragraph 3(f) of the Agreement will not apply. Instead, a Buy/Sell Back Transaction will terminate on the Repurchase Date by transfer to Seller of Equivalent Securities against the payment by Seller of:
- (i) where the Repurchase Date is the originally scheduled date, the Sell Back Price described in paragraph 2(iii)(x) of this Annex plus Accrued Interest to the Repurchase Date; and
- (ii) in any other case, the Sell Back Price referred to in paragraph 2(iii)(y) of this Annex.