Professional Documents
Culture Documents
Q2 2012
Agenda
What is DSMatch?
Process
Eligible Credit Default Swaps
Workflow
Reports
What is DSMatch?
Real time matching and confirmation
Credit Default Swaps Single Name
Credit Default Swap Index
Credit Default Swap Index Tranche
Process
Connects to most major dealers globally and over 2,200 buy-side firms
using mainframe-to-mainframe real time messaging and secured internet
access via a browser-based screen
Compares both sides of transactions and provides best possible
matches and confirmed trade status
Trade affirmation and validation provides ability to review and submit
transactions
Automatically updates TIW with current state of trades for accurate
processing of payments, events, net settlement and subsequent post
trade transactions
Product Eligibility
DSMatch and the Trade Information Warehouse are fully-integrated for
the following credit products
CDS Short (Single Name CDS)
CDS Index
CDS on Loans
Non-Eligible
Collateralized Debt Obligations (CDO)
Credit Linked Notes (CLN)
Workflow
Reports
GUI: Reports Ad-Hoc Reports
Report Name
Content
Delivery
Unconfirmed
Transactions
On request,
real-time
Alleged
Transactions
On request,
real-time
Daily Activity
On request,
real-time
Daily Reject
On request,
real-time
Payment Processing
For official legal records maintained in the warehouse (payment
matching/affirmation for contracts with economic records only)
Automated feeds to multi-currency central settlement service
Event Processing
Credit Events
Successor Events
Central Settlement
For all official legal records maintained in the warehouse
Automated feeds to central multi-currency settlement service
All firms must ensure that all records are kept up to date so that accurate
positions are held
Ensure all subsequent post-trade events are submitted to DSMatch for
electronic matching
Periodically reconcile Warehouse positions with internal positions
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The GTR status is sent back to DSMatch with a Delivered (acknowledged ack) or Error (not acknowledged nack) message/status for participants on version 10 of MQ Messaging.
However, (for users not on v.10 messaging) the GTR status can also be viewed in the GUI under the Reporting
Summary of a confirmed trade details.
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MCA- Executed
Bilaterally
DTCC Master
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ISDA
Settlement
Matrix (single
name Credit
Default Swaps)
Standard
Terms
Supplement
Spreadsheet Upload
Manual upload of csv file using web user interface
Transaction Form
Manual data entry via web user interface
Affirmation
Amendment
A transaction to change the terms of a deal except the parties to the trade (see
Assignment) or to the trade reference numbers
Assignment
One of the parties to an existing derivative contract transfers all/part of its rights and
obligations under the contract to a third party, with the approval of all three parties
involved
Termination
An agreement to reduce the notional amount or number of options of a trade, usually
involving a payment from one party to the other. Also called a partial unwind
Increases
An agreement to augment the notional amount or number of options of a trade,
usually involving a payment from one party to the other. More common for equity
derivatives
Unconfirmed
Pertains to a trade/event record you submitted that has not been fully-matched or
affirmed by the counterparty
Alleged
Pertains to a trade/event records alleged by a counterparty for which you have no
matching record
Cancelled
An unconfirmed transaction that has been cancelled by the originating party
Pending
Any post-trade transaction whereby the underlying trade is still Unconfirmed in
status
Rejected
A transaction that cannot be validated according to the format or business rules
DK
Not strictly a status, this indicates that an alleged counterparty does not recognize
the transaction
GUI Dashboard
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GUI Dashboard
Appears when you first log into DSMatch from the Deriv/SERV portal
Products segregated with current day transaction statistics and chart
Statistics number links provide list of corresponding transactions within
the product
E.g., Credit Unconfirmed number will bring you to the Credit Search page with
the current days unconfirmed transactions
GUI Dashboard
The Dashboard will segregate all
the product entitlements for a
digital certificate, and provide
summary statistics for the current
days transactions within the
products.
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General Search
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General Search
Certain
A contract is certain under two conditions.
There are no unconfirmed (in-flight) post-trade events.
The calculated Current Warehouse Notional Amount resulting from all trade life-cycle events is not negative.
Uncertain
A contract is uncertain if a previously certain trade has an in-flight or pending post trade event.
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Certain /Uncertain
Automatic Push Your back loaded trade has been automatically sent to the Warehouse because it has fully matched your
counterpartys record AND has also matched the Imputed Trade State derived from the DSMatch system (if it exists there).
Manual Push - Both parties have bilaterally manually pushed matched back loaded trades that do not successfully compare
with the Imputed Trade State.
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Click to view
Transaction History.
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Transaction History
Provides audit trail of
trades and related post
trade transactions.
Provides Warehouse
status and effects of post
trade transactions on
notional amount.
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Assignment Processing
An assignment, or novation, occurs when one of the parties to an existing derivative contract
transfers its rights and obligations under the contract to a third party.
The transaction requires the agreement of all three parties: the transferor, the transferee,
and the remaining party.
To enter an Assignment, from a confirmed view select Transferor Assignment from the
dropdown on the lower right and click Submit.
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Assignment Processing
Assignment Initial Screen requires the following fields to be added prior to moving on to the
detail screen:
Transferee (EE) Stepping-In Party
Reference Number Supplement
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Assignment Processing
The following fields are required to complete the Assignment:
Novation Date, Transferee, Novated Amount and Reference Number Supplement.
Novated amount needs to be less than or equal to the old notional amount.
Supplement needs to be unique for each assignment for specific reference number.
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Spreadsheet Upload
Upload
Supports 1 500 records.
Bulk Upload
Supports 1 10,000 records.
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