Allegation

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An “allegation” refers to the initial reporting or claiming of a trade/transaction that hasn’t yet been fully verified or matched between parties. It’s the first step in trade reporting where one party — or more commonly its executing broker — declares a transaction to have occurred, but the other — or more commonly the first party’s clearing broker or prime broker still needs to confirm that the transaction fell within the customer’s approved trading limits.

If the transaction is without the customer’s approved limits the prime broker may

See also

• Give up
• DK
• Prime broker