Operations and Systems
Booking Models
Which legal entity books a trade, intragroup back-to-back trades, and planning for recovery and resolution.
Practitioner2 pagesAdvanced2 pages
1Booking Models
- PractitionerChoosing the Booking EntityThe sales entity that deals with the client and the booking entity that carries the trade are not always the same.
- PractitionerIntragroup Back-to-Back TradesThe sales entity enters into an opposite trade with the booking entity, moving the market-risk portion to it.
- AdvancedRecovery and Resolution PlanningA firm prepares the recovery plan and the authorities prepare the resolution plan, and in resolution the authorities use tools such as transfers of business, bridge institutions, and bail-in, alone or in combination.
- AdvancedResolution stay protocolsWhen a large financial institution enters resolution, counterparties' simultaneous terminations can unsettle the market and obstruct the resolution measures.