|
| |
INCOMING |
| |
|
Prompt servicing of a customer’s request for incoming transfer is crucial in creating customer’s first impression and retaining the satisfied customer. When processing an incoming transfer, the on-line system will offer the following benefits to your staff
|
| » |
Automatically pre-populate customer information on the web from your firm's in house system when submitting TIF data and other requests. |
| » |
Automatically pre-populate data that was previously sent and retrieved from NSCC before updating and sending requests to NSCC. |
| » |
Assets are transferred one-by-one
Identify incoming assets that are non-tradable or non-holdable by your firm. |
| » |
Automatically restrict or identify incoming assets that are in a Fail to Receive status. |
| » |
On settlement date automatically post entries to customer accounts for incoming assets. |
| » |
Flag positions to be Held for a soft restriction. |
| » |
Customer, Security, and Settlement Exception reports based on data from the Position, Settlement and Activity files. |
| |
OUTGOING |
| |
There are several reasons that make manual processing of outgoing transfers more problematic. Unlike the incoming full transfers, manual entries for positions always need to be entered for partial as well as full transfers. As with incoming transfers, your staff will experience the following benefits that the on-line system offers: |
| » |
Automatically pre-populate all Asset Input information on the web from your firm's in house system. |
| » |
Automatically pre-populate data that was previously sent and retrieved from NSCC before updating and submitting the Asset Input to NSCC. |
| » |
Allow reviewing, editing and approving of Asset Inputs and Adjustments. |
| » |
Verify asset listing from the counterparty for Full and Partial transfers. |
| » |
Identify non-ACATS transfers, and transmit Asset Listings to NSCC for ACATS-eligible validated requests only. |
| » |
Generate Exception reports that readily allow staff to identify and correct issues. |
| |
REJECTS |
| |
Either the receiver or deliverer party can originate ACAT rejects, which can occur before or after the transfer of assets. Depending on the situation, rejects must be handled differently by the firm. |
| » |
If a contra Deliverer firm rejects the request, the Reject Code will drive your firm's possible responses. (Eg. 24hr Reject Code will require an automated updated response within 24 hrs.) |
| » |
If an Incoming Account rejected by your firm prior to Settlement, automatically close the transfer request and cease processing. |
| » |
On-line system will compare incoming assets to your firm’s Security data to identify Incoming Positions that will be rejected by your firm prior to Settlement. |
| |
BACKGROUND |
| |
In March of 2004, the NYSE amended rule 412, approved by the SEC, to mandate the inclusion of “partial” and “non-standard” transfers in systemic ACATS processing. The NASD followed suite and received SEC approval for their rule amendment (SR-NASD 2004-058). Implementation was scheduled for September 12, 2004 in order to allow users sufficient time to implement changes. The implications for firms are that they must implement an automated system for ACATS as soon as possible. |
| |
GENERAL |
| |
There are many issues for a firm in honoring a customer's request for transferring assets from another firm through the manual process. Unlike the automated process, there are no uniform time frames for the delivering firm to transfer the assets. |
| » |
On-line system will initiate and process incoming assets for full and partial transfers. |
| » |
The automated process will ensure that the transfer of assets will occur within the mandated days that are allowed for the transfer. |
| » |
What benefits your firm will gain? The Automated on-line system will allow your firm to |
| |
» |
Automatically store and retrieve, as well as display on the web, all data sent to NSCC as well as received from NSCC. |
| |
» |
Generate various exception reports that will allow for quick comparison and review of NSCC data vs. your firm’s data. |
| |
» |
Track and maintain historical records of all interactions with NSCC. |
| |
|
