This document describes the re-use risks and consequences that may arise under collateral arrangements with U.S. banking organizations, broker-dealers, and futures commission merchants (FCMs). It outlines the distinctions between Customer Assets, Custodial Assets, and Non-Customer Assets, and the regulatory requirements for each under U.S. law. The document also details the conditions under which Customer Assets can be used or substituted by broker-dealers and FCMs, and the protections in place for these assets.
doj/DataSet10/EFTA01372787.pdf
{"title":"Appendix 3: Re-use Risks and Consequences under Collateral Arrangements","document_date":"2016","document_type":"legal","key_locations":["U.S."],"document_subtype":"Appendix","key_organizations":["U.S. Securities and Exchange Commission","Commodity Futures Trading Commission","International Swaps and Derivatives Association","Association for Financial Markets in Europe","Futures Industry Association","International Capital Market Association","International Securities Lending Association","SIFMA"],"reference_numbers":["DB-SDNY-0066658","SDNY_GM_00212842","EFTA01372787"]}