Related provisions for INSPRU 3.2.38
1 - 4 of 4 items.
For the purposes of INSPRU 3.2.36R (1)(c), collateral is sufficiently immediate only if:(1) it is transferred or, in the case of a letter of credit, issued before, or at the same time as, the transfer of the securities by the firm; or(2) it will be transferred or, in the case of a letter of credit, issued, at latest, by the close of business on the day of the transfer.
(1) A firm must calculate maturity (M) for each of the exposures referred to in this rule in accordance with this rule and subject to BIPRU 4.4.68 R to BIPRU 4.4.70 R. In all cases, M must be no greater than 5 years.(2) For an instrument subject to a cash flow schedule M must be calculated according to the following formula:where CFt denotes the cash flows (principal, interest payments and fees) contractually payable by the obligor in period t.(3) For derivatives subject to a
(1) Collateral is adequate for the purposes of this section only if it is:(a) transferred to the depositary or its agent;(b) at least equal in value, at the time of the transfer to the depositary, to the value of the securities transferred by the depositary; and(c) in the form of one or more of:(i) cash; or(ii) [deleted]11(iii) a certificate of deposit; or(iv) a letter of credit; or(v) a readily realisable security; or11(vi) 1commercial paper with no embedded derivative content;