ACI-Operations Certificate Set 4

it gives the counterparty more time to cancel a deal ✘ it reduces errors and costs ✘ it gives front-office staff more time to process the payment orders ✘ it increases transaction costs ✔

to control the banks cash and derivative positions ✘ to reconcile and control the cash balance for the Bank for International Settlements (BIS) ✘ to reconcile and control the cash balance for the central bank ✘ cash forecasting, cash collateral and cash positions control ✔

MT 3XX ✘ MT 2XX ✘ MT 5XX ✘ MT 1XX ✔

accounting ✘ adjustment of bilateral limits ✘ netting ✘ nostro reconciliation ✔

trades are executed in nominal amounts ✘ derivates are bought and sold only over the counter (OTC) ✘ the final settlement of a derivates trade can only be made by physical delivery ✘ the accounting for derivative instruments is off balance sheet ✔

specification of the applicable law ✘ the value date ✘ the brokerage cost ✘ the name of the person(s) originating the deal ✔

free of settlement payment ✘ cash settlement ✘ same day value settlement ✘ delivery-versus-payment ✔

confirmation of the exact processing time of the payment order with the central bank of your counterparty ✘ the strict adherence to the cut-off times of your domestic payment system ✘ confirmation of the time of processing of the payment order with your own central bank ✘ the strict adherence to the cut-off times for payments made worldwide ✔

They are generated based on a code profile held for each product type on a time event basis. ✘ They are generated based on a code profile held for each front office staff member. ✘ They are generated based on the nature of instruments (debits = first priority / credits = second priority). ✘ They are generated in the morning at start of business when there is no direct link to other systems. ✔

They are scanned for money laundering activities and afterwards destroyed ✘ They are forwarded to the deal capturer to check the completeness of the deal ✘ They are matched as soon as possible after receipt ✘ They are archived after reception ✔