BDR NEWT/ETRM Summary

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Status: Best Practice Finalised, Last Updated: 15/02/2024

Question:
Summary: NEWT / ETRM:

• Note where references to DTCC event date vs. reporting date logic in this context takes place it means that the logic is checking to see if the ED is one day prior to the RD or greater than one day.

• This is important as where reporting no more than one day after the ED, certain action types hit the TSR, if not, then only the TAR would be hit.

NEWT / ETRM:

• T vs. T+1 Submissions

• Assuming both sides of the trade have to report and both submission dates are the same.

• Where submission dates are not the same the field populations would need to match.

• Where fields do not match on different submission dates trades can end up paired but not matched on the TSR report, this is because the TR currently compares the event date from day 2 and not on day 1.

• Once both sides of the trade are terminated with an ETRM then both will be removed off of the TSR and appear on the latest reconciliation report for 30 days.

• ED - Event Date

• RD - Reporting Date

• NEWT:

• Action type with an historical ED (being 22.1.24) and a current RD (being 7.2.24) and also with a current ED (being T) and a current RD (being T+1) will:

• Hit the TAR

• Hit the TSR

• Pair (pairing both cptys to one UTI)

• Match (checking the fields for validation) and

• Be presented for reconciliation

• ETRM:

• Action type where positions opened and closed historically via ETRM will not appear in latest TSR may appear in Reconciliation report for a subsequent 30-days from day of termination.

• Latest TAR will be updated as normal.

• ETRM is applicable to matching.

• Termination date is a reconciled field, so if the parties send ETRMs for different termination dates (or one party sends ETRM and the other does not) they would see matching breaks in the TR reconciliation.

Best Practice:

(SFTR-822)