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**Therefore no {{tag|CASS}} question arises at any point. | **Therefore no {{tag|CASS}} question arises at any point. | ||
*'''Pledge''': The {{1995csd}} and {{1994csa}} are “pledge” documents: | *'''Pledge''': The {{1995csd}} and {{1994csa}} are “pledge” documents: | ||
**The transferor delivers the securities to the receipient to hold for the transferor – the transferor retains title | **The transferor delivers the securities to the receipient to hold for the transferor – the transferor retains title. | ||
**Recipient holds securities as transferor's custodian subject to a {{tag|security interest}} securing their obligation under the swap. | **Recipient holds securities as transferor's custodian subject to a {{tag|security interest}} securing their obligation under the swap. | ||
**The custody arrangement only exists while recipient holds the security, not before. | **The custody arrangement only exists while recipient holds the security, not before. | ||
**Under US iterations of this form the pledgee may nonetheless have a right to sell the pledged asset absolutely, under a process known as [[rehypothecation]]. Don’t laugh. [[Amwell J|We]] think this converts the pledge arrangement into a [[title transfer collateral arrangement]] - at least at the point of [[rehypothecation]], if not before. |