Liquidation (LIQU)

SFTR Report - NEWT | Corporate Action Cluster - Addition Sec on Loan | Cash Move - Y>

Status: Best Practice Finalised, Last Updated: 24/05/2021

SFTR Report - NEWT | Corporate Action Cluster - Addition Sec on Loan | Cash Move - Y

Description:
Distribution of cash, assets or both. Debt may be paid in order of priority based on preferred claims to assets specified by the security.

Best Practice:
When booking a Liquidation, a loan contract should be booked in addition to the current contract with your counterparty on the pay date of the event.

Actions undertaken around liquidation events should be considered on a case by case basis, ISLA best practice should be followed in each instance. (COAC-40)