DVP-3 settlement eligibility for corporate bonds tied to credit, yield spread, liquidity and clearing guarantee protections. SEBI prescribes a risk management and settlement framework for corporate bond trading on exchange debt segments enabling DVP-3 settlement for eligible publicly issued and qualifying privately placed bonds; the Clearing Corporation must provide a settlement guarantee and create a Settlement Guarantee Fund; margins include an Initial Margin based on a 99% one-day VaR with minimum floors by residual maturity and an upfront Extreme Loss Margin, with specified liquid asset composition and auction/close-out procedures for shortages.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
DVP-3 settlement eligibility for corporate bonds tied to credit, yield spread, liquidity and clearing guarantee protections.
SEBI prescribes a risk management and settlement framework for corporate bond trading on exchange debt segments enabling DVP-3 settlement for eligible publicly issued and qualifying privately placed bonds; the Clearing Corporation must provide a settlement guarantee and create a Settlement Guarantee Fund; margins include an Initial Margin based on a 99% one-day VaR with minimum floors by residual maturity and an upfront Extreme Loss Margin, with specified liquid asset composition and auction/close-out procedures for shortages.
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