Tri-Party Connectivity (RQV)

TRI-PARTY CONNECTIVITY

OVERVIEW

Tri-Party Connectivity allows collateral providers and collateral receivers to agree required values (RQVs) and send the agreed-upon figures to the tri-party agent. The service is available if both counterparties are using EquiLend’s Tri-Party Connectivity service or if only one client is using it.

HOW IT WORKS 
  • Collateral receiver and/or provider submits RQVs to EquiLend
  • EquiLend compares counterparties’ values against each other and facilitates the resolution of discrepancies
  • When the values match or fall within a provider’s tolerance, EquiLend sends the figures on behalf of both parties to the tri-party agent
  • The tri-party agent sends response messages acknowledging receipt of the figures, which EquiLend processes to generate individual status updates on the screen
  • The collateral receiver and the collateral provider each submit their RQVs to EquiLend
KEY FEATURES
  • Bulk submit RQVs via one XLS upload for all counterparties
  • Collateral provider submits aggregate value for a group of instructions; receiver determines breakdown by submitting values at individual fund leve
  • Receive response messages from the tri-party agent to know the real-time statuses of RQVs
  • Allegement messages with trade details displayed when a counterparty not using EquiLend is first to submit, so EquiLend clients can quickly and accurately respond
  • Collateral providers can set value & percentage tolerances on each instruction to facilitate comparison—not necessary to agree exact values
  • Receive alert if instruction sent to tri-party agent requires action