Settlement Processing

The Settlement Module supports multi-currency settlement processing and different settlement methods such as continuous net settlement (CNS), transaction based settlement, customer RVP/DVP, and ex-clearing settlement. Other major functionalities are: conversions, fail processing, RVP / DVP processing, stock record with inherent separation of Firm and Customer positions, depository / custody position keeping, compensation netting, depot transfer, status transfer, and depot management. The International Settlement Module provides settlement services within the DB Group on a worldwide basis. The Location Information System provides on-line inquiries and tracking on all transactions that are settled or pending with various locations (currently, Euroclear, Kassenverein, Sicovam or Cedel).

Highlights

Multi-Currency
RVP / DVP Processing
Ex-Clearing Processing
Continuous Net Settlement (CNS)
Free Receives and Delivers
Separate Processing of Cash & Securities
International Settlement
DR / ORD Conversion
Fail Processing / Same Day Fails / Fail Cancellations
Automated Interfaces to External Agencies
Interface DTC On-Line for CNS / ID Trades
Extensive Clearing Linkages
Information System Inquiries
Stock Record / DepotManagement
Stock Adjustments
Depot Transfer
Status Transfer
Segregation / De-Segregation
Reconciliation
Reorganization
Pre-Advice Facility (PRAF)
Cancellations and Corrections
Margin System
Tax Lot Assignment
Compensation Netting

db trader creates Receive and Deliver versus Payment Records for customer and counterparty transactions. On settlement day the system provides on-line information for all items to be settled for that particular day. Information on past due fails, which have not been cleaned up, and transactions processed for same day settlement (cash) will also be shown. The user can settle all the transactions on-line. The level of automation and controls which are built into the system dramatically reduces failed transactions and settlement errors, which results in significant cost savings and reduced exposure. Transactions also can be partially settled (indicated with an asterisk) with the system generating a fail for the remaining quantity and money. Securities and cash can be settled independently, i.e., the securities may settle but the money remains open or vice versa. Transactions not settled are kept as pending items until cleared, thus allowing true risk management of counterparty and customer transactions. The Ex-Clearing Autoclear function allows for the multiple clean up of transactions in order to streamline processing.

DB TRADER           DVP / RVP  P R O C E S S I N G            IWD08
SEARCH TRANSACTION Number: ----------- TRADE NUMBER:  -----------
TRANS.   B/S PAY ACCOUNT      SECURITY           QUANTITY       AMOUNT
  ------------------------------------------------------------------------
       183 S USD 000033 (BAN YB             10000000.0000     9851582.2
       212 B USD -724 MIMLIC YB                  100.0000        5178.6
 *     217 B USD     100SF00 GOVT BOND                        1599184.9
       225 B USD 000033 (BAN YB                  500.0000        7500.00
 *     255 B USD     100-OM0 BOND TEST                          51633.33
 *     269 S USD AMERICAN AI YB                                 12336.83
 *     271 S USD AMERICAN AI YB                  157.0000
 *     275 B USD AMERICAN AI YB                                 17067.70
 *     297 S USD AMERICAN AI YB                  200.0000                 

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ENTER-Process  2/5-Paging  7-Account   9-Security     10-Sort/Find Trade
13-Transaction 15-Hardcopy 16-Exit 17-Process Trans   18-Sort/Find Trans