82,891
edits
Template:Nutshell GMSLA 11.4: Difference between revisions
no edit summary
Amwelladmin (talk | contribs) No edit summary |
Amwelladmin (talk | contribs) No edit summary |
||
| Line 1: | Line 1: | ||
:{{gmslaprov|11.4}} If between the {{gmslaprov|Termination Date}} and the {{gmslaprov|Default Valuation Time}}: <br> | :{{gmslaprov|11.4}} '''Transactions and quotes''': If, between the {{gmslaprov|Termination Date}} and the {{gmslaprov|Default Valuation Time}}: <br> | ||
::(a) '''Actual sale or purchase''': the {{gmslaprov|Non-Defaulting Party}} ('''NDP''') has | ::(a) '''Actual sale or purchase''': the {{gmslaprov|Non-Defaulting Party}} ('''NDP''') has bought or sold securities {{gmslaprov|equivalent}} to those it owes or is owed by the {{gmslaprov|Defaulting Party}} it may treat the {{gmslaprov|Default Market Value}} as the net sale proceeds or aggregate purchase cost of the relevant securities. Were the securities sold or purchased are not in identical in amount to the {{gmslaprov|Equivalent}} {{gmslaprov|Securities}}, {{gmslaprov|Non-Defaulting Party}} may [[in good faith]] pro rate those values to determine the necessary {{gmslaprov|Default Market Value}}. <br> | ||
::(b) '''Market quotes''': the NDP has received: <br> | |||
::(b) ''' | |||
:::'''offer''' quotations for {{gmslaprov|Securities}}/{{gmslaprov|Collateral}} {{gmslaprov|equivalent}} to those it is owed by the {{gmslaprov|Defaulting Party}}; or | :::'''offer''' quotations for {{gmslaprov|Securities}}/{{gmslaprov|Collateral}} {{gmslaprov|equivalent}} to those it is owed by the {{gmslaprov|Defaulting Party}}; or | ||
:::'''bid''' quotations for {{gmslaprov|Securities}}/{{gmslaprov|Collateral}} {{gmslaprov|equivalent}} to those it owes the {{gmslaprov|Defaulting Party}}; <br> | :::'''bid''' quotations for {{gmslaprov|Securities}}/{{gmslaprov|Collateral}} {{gmslaprov|equivalent}} to those it owes the {{gmslaprov|Defaulting Party}}; <br> | ||
::from two or more market makers in a {{tag|commercially reasonable}} size (as determined by the NDP) it may elect to treat as the {{gmslaprov|Default Market Value}} the arithmetic mean of those prices quoted adjusted in a commercially reasonable manner by the NDP to reflect accrued but unpaid coupons plus or minus transaction costs.<br> | ::from two or more market makers in a {{tag|commercially reasonable}} size (as determined by the NDP) it may elect to treat as the {{gmslaprov|Default Market Value}} the arithmetic mean of those prices quoted adjusted in a commercially reasonable manner by the NDP to reflect accrued but unpaid coupons plus or minus transaction costs.<br> | ||