Qualified Financial Contracts (QFC)

Enables creation of master tables to accurately identify all participants in the QFC and meet FDIC recordkeeping and reporting requirements


Overview


Device Frame
Daily Pressure

Given the complexity and size of a daily qualified financial contracts (QFC) book and the depth of the Federal Deposit Insurance Corporation’s (FDIC) requirements, reporting entities (REs) may struggle to be prepared on time, and may recognize the need to better automate their existing approach.

Requirements

FDIC requires that REs maintain four master tables that cleanly identify all participants in the QFC and produce four reports:

Position/transaction-level details

Collateral information supporting counterparty details

Counterparty level aggregated exposure

Information on QFC-related legal agreements

The above factors are forcing FIs to reevaluate their approach to meeting liquidity-reporting challenges.

Questions to Consider

  • Are we able to maintain daily recordkeeping in order to generate the required four reports with four master tables within 24 hours of an FDIC request for that day’s end-of-day QFC book?
  • Is our data complete, checked, and can they meet 60 specific validation requirements?

  • Are we able to collect and integrate data points from very large record volumes?
  • Do we have daily reporting capabilities for large volumes of data?
  • Can we conform disparate data to the rule’s definitions?

Solution

Collaborative Platform

AxiomSL’s collaborative QFC solution platform’s robustness, adaptability, transparency and state-of-the-art data-lineage module enables REs to meet the QFC rule requirements for recordkeeping and reporting accurately and speedily.

Data-Lineage Modules

  • Reconciles between position and counterparty level data
  • Facilitates aggregation of the transactional level data
  • Validates various individual data points
  • Ingests the data from multiple sources

  • Provides the framework of the required data points and maintains all future regulatory changes and edit/checks
  • Facilitates analytical charts and trend reports through dashboards
  • Generates the validation checks failure report

Device Frame

For more information about AxiomSL’s QFC Solution, download the PDF.

AxiomSL’s QFC Solution Overview

Meet the QFC rule requirements for recordkeeping and reporting speed and accuracy.

AxiomSL’s QFC Solution Overview

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Please read blog: To Party or Not To Counterparty, That is the Question.

Benefits

Provides REs with end to end QFC process automation and reporting

Delivers on-demand generation of a QFC filing that includes a pre-processing step for review, reconciliation and sign-off

AxiomSL’s EntityView data dictionary for QFC houses all QFC counterparty related information

Enhances data governance and strengthens transparency with AxiomSL’s cost-effective and high-performance strategic platform that delivers required processes, calculations and controls

Delivers business insights through trend analysis and portfolio composition of counterparties on a daily basis ― viewable through AxiomSL’s dashboard technology

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