Collateral Operations – Banking Reports Enhancement
LCH Circular No 3598
13th March 2015
All LCHClearnet Members
Dear Clearing Member,
LCH.Clearnet is pleased to confirm the following Banking report improvements effective from Tuesday 17th March:
REP00030: Title column changed from ‘USD Equivalent' to ‘Non Cash Unutilised'
REP00030: FX rate updated to correct EUR rate
REP00018: Erroneous GBP FX rates removed – LCH.Clearnet Banking system triangulates via EUR
In addition to these improvements, from Wednesday 1st April the posting type ‘CREDIT/DEBIT NOTE' will be replaced for a number of specific scenarios whereupon a manual adjustment is required. These six scenarios cover the majority of the cases when manual adjustments are typically entered, however LCH.Clearnet will still use Credit/Debit notes by exception.
These new posting types will not only aid Clearing Members understanding when manual adjustments are entered but also provide greater transparency..
Please note that this will not affect the format of the Banking reports – only the posting reference is reflected within the report.
New Posting Types
|No||New Posting Reference||Explanation||Frequency|
|1||RCL_CP_ADJ||This is an adjustment to the RepoClear Coupon to compensate an error in the calculation of the initial gross value.||Adhoc|
|2||RCL_MARG_ADJ||This is an adjustment to compensate an error in the calculation of margin for RepoClear members.||Adhoc|
|3||SWP_VM_ADJ||This is an adjustment to compensate an error in the calculation of variation margin for SwapClear members.||Adhoc|
|4||OVM_VM_ADJ||This is an adjustment to compensate an error in the calculation of variation margin for non SwapClear and non RepoClear members.||Adhoc|
|5||ACC/BUF_ADJ||This is an adjustment to compensate an error in the monthly non cash collateral accommodation calculation||Monthly|
|6||INT_ADJ||This is an adjustment to compensate an error in the monthly cash collateral interest calculation||Monthly|
Banking Reports Affected
The following Banking reports will see the inclusion of the new Posting References
|Banking Report No||Report name / description||Frequency|
|22||Yesterday's Cover Account Postings||Daily|
|22a||Today's Non Cover Account Postings||Daily|
|29||Yesterdays Postings Total||Daily|
|37||Statement of Account||Monthly|
If you require any further information or have any questions please email Collateral Operations using firstname.lastname@example.org or phone: +44 (0) 20 7426 7505.