Template:M summ Pledge GMSLA 5.4: Difference between revisions

Remember the theory here, in contrast to the {{pgmsla}} is that the {{pgmslaprov|Borrower}} is managing collateral in a [[triparty system]], and the {{pgmslaprov|Lender}} is an [[agent lender]] acting on behalf of some other wealthy buy and hold investor who has no particular use for the {{pgmslaprov|Collateral}} being posted to it, other than to act as security. Thus the {{pgmslaprov|Collateral}} never leaves the {{pgmslaprov|Borrower}}’s beneficial ownership, but just moves between its tri-party “[[long-box]]” and its a triparty [[pledge]] account — being a separate account in its name, only pledged to the {{pgmslaprov|Lender}}. All these movements will be handled by the triparty agent without the {{pgmslaprov|Borrower}}’s intervention, assuming the {{pgmslaprov|Borrower}} has funded enough assets in its long-box in the first place. Which, unless it is ''properly'' going down the Swanee, it will have done automatically. This is a big, bulk business.