Security Quality

Field 2.51 | Matching Date: 2021-01-01 | Tolerance: None | Agent Lender Data Provision: No>

Status: Best Practice Finalised, Last Updated: 26/04/2021

Field 2.51 | Matching Date: 2021-01-01 | Tolerance: None | Agent Lender Data Provision: No

Description:
Code that classifies the credit risk of the security.

Best Practice:
If Field 2.40 (Type of Asset) is populated with "SECU", at least one code pertaining to the security quality shall be provided, of which there are 4 options (x4 alphabetical characters). Otherwise, this field should be left blank. Firms should report their own internal records for the quality of the security.

ESMA Guidelines Reporting under Articles 4 and 12 SFTR: 06 January 2020

281. "Counterparties should report the security quality information as consistently as possible since it will be used for reconciliation. However, ESMA was made aware of possible limitations that might prevent entities from sharing this information, in which case the reporting counterparties should report the value that best reflects their internal assessment." (SFTR-71)