Trade Life Cycle-Part 1| Equity Settlement Process| Clearing House| Back Office Operations|

Рет қаралды 133,845

2 жыл бұрын

‎Follow the FinEx Training channel on WhatsApp: whatsapp.com/channel/0029Va5u...
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I am Ashok Kumar Kasi, an ex-IIM alumni and the Founder of FinEx (Financial Exchange)Training. I provide one month FREE coaching for CFA in Mumbai. So that trainees can decide on their own if they wish to pursue CFA. I can be contacted on 9867242021 or 9840032032.
Whatsapp no: 9840032032.
About this video:
This video explains the Trade Life Cycle steps in the US market. Steps may slightly differ depending on the Market or Bulk trade. This video is very
helpful for the people working in the operational or back office of the Equity settlement process.
Topics covered:
1. What is Trade Life Cycle or What are the steps involved in a Trade Life Cycle.
2. Interview questions of Trade Life Cycle
3. Front Office, Middle Office, and Back Office
4. Why it takes T+3 working days for the settlement in the US. (In India, it takes T+2 working days).
5. What is Custodian
6. What is Clearing House
7. What is Depository
Example for Clearing House in India -- NSCCL - National Securities Clearing Corporation of India and ICCL - Indian Clearing Corporation Ltd.
Examples for Depository in India -- NSDL and CDSL.
DTCC acts as both Clearing House and Depository in US.
Example for Clearing Member and Custodian - SBI Capital, HDFC Securities, ICICI Securities can act as Clearing Member and Custodian. Typically, major Investment Banks takes up the license of Clearing Member.
In India, many Investment Banks like BNYMellon, Northern Trust acts as the Custodian (their clients are in US and other countries but Custodian's work happen's in India).
Other social media links:
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finextraining.com/review/
Facebook Page
Finextrainin...
Linkedin Page
/ admin
#trade #settlement #equity #investmentbanking #backoffice #finextraining
www.finextraining.com

Пікірлер: 250

@sumitramakrishna Жыл бұрын

Awesome explaination of the trade flow in a single frame. I'm inspired now to watch rest of your videos. Kudos to you and thanks a lot!

@FinExTraining Жыл бұрын

🙏🙏🙏😊Very encouraging!!!

@neerajsrivastava6177 2 жыл бұрын

One of the best explanations of the end to end trade lifecycle. Thank you so much for this video.

@FinExTraining 2 жыл бұрын

Very encouraging! So kind of you!🙏🙏😊

@poojalingayat694 11 ай бұрын

Such an excellent way of telling each step. Well now onwards I will never forget TLC. Thank you, sir.

@FinExTraining 11 ай бұрын

Thank you, Pooja for watching the video and commenting!

@mrinalpradeep3025 Жыл бұрын

Great explanation of the entire TLC. Very clear and detailed.

@FinExTraining Жыл бұрын

🙏🙏😊Thank you so much! Feel free to watch other videos as well. Happy Learning.

@dzn8575 Жыл бұрын

Best video I have seen so far on TLC. It is very detailed. Thank you for sharing 👍

@FinExTraining Жыл бұрын

Thank you so much! Feel free to watch other videos as well.

@AdityaSinghRajawat-vq8ww Жыл бұрын

Best ever explanation I've ever witnessed in my entire Life.. Thank You So Much Sir..!!! God Bless You Always..

@FinExTraining Жыл бұрын

Thank you so much, Sir🙏🙏😊

@seepesharma1426 8 ай бұрын

Thank you for making this so simple ..though it's definitely not a thing that can be explained so easily...kudos!🎉

@FinExTraining 8 ай бұрын

Thank you so much for watching the video and commenting! Happy learning.

@csshalaka001 Жыл бұрын

One of the best video on TLC till date.. Concepts and each stage of settlement has been explained very clearly and patiently..One can remember the entire process even if heard twice with attention.. 👍👍

@FinExTraining Жыл бұрын

Your words are highly encouraging! Thank you so much! Feel free to watch other videos as well. Happy Learning.🙏😊

@jessicagreene8083 8 ай бұрын

Finally, I understand the difference between the exchange and clearing house.

@FinExTraining 8 ай бұрын

Thank you for watching the video and commenting.

@rickykumar8595 Жыл бұрын

This is 1st video on i am watching where very clearly explained and very basic points are explained and these are very lucrative for any reconciliation interview.👍

@FinExTraining Жыл бұрын

Thank you for watching the video and commenting, Ricky Kumar!!😊🙏

@leighmoralde Жыл бұрын

Thank you very much for this very detailed explanation!! I learned a lot on this training. Kudos!

@FinExTraining Жыл бұрын

Very encouraging words! Feel free to watch out other videos as well. Happy Learning. 🙏😊

@poojasrikumar250 2 жыл бұрын

This video is so clear and precise! Thank you.

@FinExTraining 2 жыл бұрын

Thats very encouraging! Thank you. Feel free to check out other videos as well. Happy Learning!

@nalluripardhasaradhi18 2 жыл бұрын

cleared all my doubts in one shot

@FinExTraining 2 жыл бұрын

Thank you 🙏🙏😊

@nishantsinha278 2 жыл бұрын

Extremely happy with the Video, clearly explained, well done...

@FinExTraining 2 жыл бұрын

Thank you so much Nishant! 🙏🙏😊

@syedsadiq2534 9 ай бұрын

Nicely explained. I was kind of struggling to understand the concept. There were too many doubts and questions with regards to the same.. Glad I found this video.

@FinExTraining 9 ай бұрын

Thank you so much for watching the video and commenting. Feek free to watch other videos as well. Happy learning.😊

@nishusharma04 2 жыл бұрын

Sir awesome video it’s explain everything and every stage. I was so confused what happens during enrichment now understood very well

@FinExTraining 2 жыл бұрын

Thank you so much! Very encouraging! Pls feel free to check out other videos as well and give your valuable comments. It will help me to make more useful videos for all. 🙏🙏😊

@OneLinerQuotesDaily Жыл бұрын

Perfect ...Perfect ...and Perfect ... Thanks FinEx.

@FinExTraining Жыл бұрын

Thank you so much! 🙏😊 Pls feel free to watch other videos as well. Happy Learning.

@ca_saurabhgoyal Жыл бұрын

Explained the concept very nicely and indepth!

@FinExTraining Жыл бұрын

Thank you so much! Feel free to watch other videos as well. Happy Learning.🙏😊

@ramalingamramapraba856 2 жыл бұрын

Hello Sir, Trade life cycle video is fantastic.. i could say the best one ..awesome explanation sir

@FinExTraining 2 жыл бұрын

Thank you so much! Highly motivating!🙏🙏🙏😊

@leenabadgujar2313 Жыл бұрын

Very clear basic and amazing explanation specially for a beginner like me. Thank you :)

@FinExTraining Жыл бұрын

Thanks for watching the video and commenting, Leena!

@shrutiradkeradke9942 10 ай бұрын

Thank you for sharing hard and useful information in a very easy way you are making amazing videos sir.

@FinExTraining 10 ай бұрын

Thank you so much for watching the video and commenting. Your comments are very encouraging @shrutiradkeradke9942 . Feel free to watch other videos as well.

@amrutatathe8175 2 жыл бұрын

Nicely explain Ashok.Well done ✅ Awaiting such knowledge sessions

@FinExTraining 2 жыл бұрын

Thank you so much, Amruta!

@danglingcrux154 4 ай бұрын

I'm working in leading exchange of India. I knew these things, but I used to get confused sometimes. You cleared all my doubts 😊

@FinExTraining 4 ай бұрын

Glad to hear that. Thank you so much for commenting! It encourages a lot! Feel free to watch other videos as well.

@omar_alanany Жыл бұрын

What a great breakdown!

@FinExTraining Жыл бұрын

Thank you, Omar! Feel free to watch other videos as well.

@TravellingMumbaikar 2 жыл бұрын

Superb session sir..very well explained...

@FinExTraining 2 жыл бұрын

Thank you so much Prashant! Very encouraging!🙏

@SaichandChilakapati Жыл бұрын

Crisp and clear Mr. Ashok Kumar. Explained with ease and understandable capacity in a layman perspective. Explained from core with a work flow giving a brief idea. Thanks a lot. Keep rocking. 😊❤👏🙌👍

@FinExTraining Жыл бұрын

Thank you so much, Saichand! Feel free to watch other videos as well. Happy Learning :)

@SaichandChilakapati Жыл бұрын

@@FinExTraining Sure, Would like to understand the same TLC for OTC products. Bcz as we know there won't be any exchange for OTC. Thanks.

@FinExTraining Жыл бұрын

@@SaichandChilakapati OTC Trade Life Cycle? Which platforms are used for OTC Trade kzfaq.info/get/bejne/kJmCe5pmtc2WpIE.html

@SaichandChilakapati Жыл бұрын

@@FinExTraining This is helpful. Thanks.

@samuel9819 2 жыл бұрын

Superb Ashok Well explained

@FinExTraining 2 жыл бұрын

Thanks Sam! 🙏🙏

@educativetv2170 2 жыл бұрын

Thank you very much n explanation was in next level n everyone can understand ❤️loved ur work ❤️

@FinExTraining 2 жыл бұрын

Thank you so much for such encouraging words! Feel free to check out other videos as well.🙏🙏😊

@a.refathfathima.refath9416 2 жыл бұрын

Awesome video, really appreciate it.. Thank you so much

@FinExTraining 2 жыл бұрын

Thanks Fathima! Very encouraging🙏 Feel free to check out other videos as well. Happy Learning😊

@pallaviingale8266 2 жыл бұрын

Thank you so much i really appreciate your teaching 😊

@FinExTraining 2 жыл бұрын

Thank you so much!🙏🙏

@d.poornimayadav5702 2 жыл бұрын

Very well explained... Thanks ☺️

@FinExTraining 2 жыл бұрын

Thank you so much! Very encouraging. 🙏😊

@satyasaijaddu355 Жыл бұрын

Superb Explanation Really Super

@FinExTraining Жыл бұрын

Thank you so much, Satyasai🙏😊. Freely free to check out other videos as well. Happy Learning.

@chandrakalarai4166 2 жыл бұрын

Awesome Ashok 👍👍👍

@FinExTraining 2 жыл бұрын

Thank you so much!

@eddanapudir 2 жыл бұрын

Thankyou. Very well explained.

@FinExTraining 2 жыл бұрын

Thank you so much! Feel free to check out other videos as well! Happy Learning🙏😊

@rajachitluri610 2 жыл бұрын

Excellent video. A small correction required. The settlement cycle in the US is T+2 for equities.

@FinExTraining Жыл бұрын

Hi Raja, yes, most of the stock settle in T+2 working days in US now. Thank you.

@suruthisubhalakshmi4883 12 күн бұрын

Captivating explanation

@FinExTraining 12 күн бұрын

Thank you so much for watching the video and commenting! Feel free to watch other videos as well.

@Manikandan-kb8db 7 ай бұрын

Awesome Sir clearly explained 😊

@FinExTraining 7 ай бұрын

Thank you so much for watching the video nd commenting. Feel free to watch other videos as well.Happy learning.

@harapriyamohanta5520 2 жыл бұрын

Clearly explained.. now I understood why UBS said no to me 😀. Thank you sir 🙏. Sir please made some videos about reconciliation and hedge fund

@FinExTraining 2 жыл бұрын

Sure. Will make it. Thank you so much for watching the video!🙏🙏😊

@harshaani4799 2 жыл бұрын

Hello sir, Any updates about reconciliation videos?

@FinExTraining 2 жыл бұрын

@@harshaani4799 hi Harsha, just finished writing the content for Reconciliation. Will make video and upload the content in a week's time for sure.

@harshaani4799 2 жыл бұрын

@@FinExTraining Thank you sir for your prompt responce...I have small doubt in Trade life cycle class...What is difference between custodian and depository?..Why we are using both words ..Can u please explain me sir?

@FinExTraining 2 жыл бұрын

@@harshaani4799 cool. Will make a small video on this doubt and explain it.😊

@ganeshchellaswamy701 2 жыл бұрын

Great Explain Ashok 👍

@FinExTraining 2 жыл бұрын

Thanks a lot!🙏🙏😊

@suvigyanidhipandey8522 Жыл бұрын

that was really a well explained video...thankyou so much

@FinExTraining Жыл бұрын

🙏😊Thank you so much for watching the video, Suvigya Nidhi. Happy Learining.

@Satyakam85 6 ай бұрын

Great video Ashok. really clearly explained

@FinExTraining 6 ай бұрын

Thank you so much for watching the video and commenting! Feel free to watch other videos as well. Happy Learning.

@sri4132 Жыл бұрын

This is the best explanation

@FinExTraining Жыл бұрын

Thank you so much for watching the video. Happy Learning. Feel free to watch other videos as well. 🙏😊

@Perspectivesbyme Жыл бұрын

Awesome explanation it will help me for my interview tomorrow 😊

@FinExTraining Жыл бұрын

Thanks for watching the video and commenting! I wish you all the best for your interview. 👍😊

@niveditawaghmare3058 9 ай бұрын

Outstanding explanation

@FinExTraining 9 ай бұрын

Thank you so much for watching and commenting! Free free to watch other videos as well.

@anushyad6153 8 ай бұрын

Awesome explanation thank you soo muchhh sir...so clear

@FinExTraining 8 ай бұрын

Thank you so much for watching the video and commenting!

@vibingwithsoumyaa Жыл бұрын

Best vdo.. thanku so much sir! You made it easier for us👍👍🙏🙏

@FinExTraining Жыл бұрын

Thank you so much for watching the video, Soumya🙏😊. Feel free to watch other videos as well. Happy Learning!

@vibingwithsoumyaa Жыл бұрын

Yaa sure sir🙏

@adityanarendra3905 2 жыл бұрын

good one .... very knowledgable video.Great job boss.

@FinExTraining 2 жыл бұрын

Thank you so much Aditya🙏😊. Feel free to watch other videos as well.

@VicSMeIsTeR Ай бұрын

Spot on, thanks

@FinExTraining Ай бұрын

Thank you so much for watching the video and commenting! Feel free to watch other videos as well. Happy Learning.

@subramanianvenkataraman593 Жыл бұрын

Wonderful explanation 👏👏👏😊

@FinExTraining Жыл бұрын

Thank you! 😃 Feel free to watch other videos as well. Happy Learning.

@rsedytube Жыл бұрын

Excellent, This is what I was looking. Thank you so much. also if you can provide a video on Straight Through Processing it would be great

@FinExTraining Жыл бұрын

Sure. Will try to do it. Thanks for watching the video. Happy Learning.

@sukumarmurugesan8764 2 жыл бұрын

Nicely elucidated.

@FinExTraining 2 жыл бұрын

Thank you so much, Sukumar!🙏😊

@sarangmaskepatil6739 5 ай бұрын

Supperrrrr explanation 🎉🎉

@FinExTraining 5 ай бұрын

Thank you so much for watching the video and commenting! Feel free to watch other videos as well. Happy Learning.

@smritinegi8287 Жыл бұрын

You are very knowledgeable 😊

@FinExTraining Жыл бұрын

Thank for watching the video and commenting, Smriti! Its very encouraging.

@vineethmaddi 16 күн бұрын

Awesome explanation Sir. Though there are many videos on TLC, the way you explain things makes a difference. I have a few queries. 1) How different is the Trade Life Cycle for an institutional investor, as compared to a retail investor 2) You mentioned that buyer and seller do not know one another throughout the TLC, so how do they resolve the trade discrepancies like quantity/settlement instructions mismatch etc., 3) At which step does the pre-settlement matching happens, like they say Matched, Unmatched and who does this

@FinExTraining 16 күн бұрын

OTC Trade Life Cycle? Which platforms are used for OTC Trade kzfaq.info/get/bejne/kJmCe5pmtc2WpIE.html

@FinExTraining 16 күн бұрын

Reasons for a Failed Trade| Trade Life Cycle-Part2|Buy-in and Sell-out| Auction kzfaq.info/get/bejne/l9apfsSY3LyyhnU.html

@FinExTraining 16 күн бұрын

1-How didferent is TLC for retail investor---Its more or less same. Retail Investor will not affirm the trade. If they dont reply to their contract note sent over mail (confirmation), it is automatically taken as affirmation. 2- For the 2nd question, pls watch the video on Reasons for a failed trade. 3- Before Clearing, matching steps happens.

@vineethmaddi 11 күн бұрын

@@FinExTraining Thank you Sir

@mashhuraakhmedova2921 7 ай бұрын

Excellent explanation 🎉

@FinExTraining 7 ай бұрын

Thank you so much for watching the video and commenting! Happy learning.

@naitikshah3093 2 жыл бұрын

Very nicely explained 👍

@FinExTraining 2 жыл бұрын

Thank you Naitik! Very encouraging🙏😊

@meetmehta3995 2 жыл бұрын

Thank you sir .

@FinExTraining 2 жыл бұрын

Welcome! Feel free to check out other videos as well. Happy Learning!😊

@vaibhavmule1522 Жыл бұрын

Thanks For Sharing This Information Video in Very Simple Language. Plz make another video on EXCHANGE OTC

@FinExTraining Жыл бұрын

OTC Trade Life Cycle? Which platforms are used for OTC Trade kzfaq.info/get/bejne/kJmCe5pmtc2WpIE.html Pls go through the attached video for OTC Trade Life Cycle.

@frasersimpson8256 5 ай бұрын

perfect explanation bro thank you

@FinExTraining 5 ай бұрын

Thank you so much for watching the video and commenting! Feel free to watch other videos as well. Happy Learning.

@pratikratnaparkhe618 Жыл бұрын

Nicely explained 💯

@FinExTraining Жыл бұрын

Thanks for watching the video and commenting Pratik!

@HeidisHome 10 ай бұрын

Good one

@FinExTraining 10 ай бұрын

Thank you so much for watching the video and commenting! Feel free to watch other videos as well.

@mangeshpandit2928 2 ай бұрын

Nice

@FinExTraining 2 ай бұрын

Thank you so much!

@prasannababujestadi7810 3 ай бұрын

Thanks for explanation clearly

@FinExTraining 3 ай бұрын

Thank you for watching the video and commenting! Feel free to watch other videos as well. Happy Learning.

@SuperAbhishek333 2 күн бұрын

Thanks bro, Keep up the good work 😀

@FinExTraining 2 күн бұрын

Thank you so much for the comments. Happy Learning. Feel free to watch other videos as well.

@anupnerkar5272 7 ай бұрын

Thank you so much sir

@FinExTraining 7 ай бұрын

Thank you so much for watching the video and commenting! Feel free to watch other videos as well. Happy Learning.

@311golu Жыл бұрын

Excellent video. Very well explained , could you also explain the reconciliation part as well.

@FinExTraining Жыл бұрын

What is Reconciliation? kzfaq.info/get/bejne/psxgaJaknc6thYk.html

@FinExTraining Жыл бұрын

Reconciliation happens after Trade gets settled. Have attached the link for Reconciliation. Kindly watch it. Happy Learning!👍😊

@trevor9545 Жыл бұрын

Boss your explained really well.. M subscribed your channel👍

@FinExTraining Жыл бұрын

🙏🙏😊 Thank you so much!

@swagathjain8164 Жыл бұрын

Hii. It's really helpfull to understanding the trade settlement. Can you please give the clean picture of of problems facing the trade settlement, like if trade was not settle what will happen and bad delivery in trade settlement. If trade settlement settled incorrectly what will happen.,? Etc.. It will help s to those who are looking for jobs in trade settlement. Thank you 🥰🥰🥰

@FinExTraining Жыл бұрын

Sure Swagath. Will make a video soon and post it in a week's time. Thank you. Happy Learning. 🙏

@md.mosarafhossainkhan5 Жыл бұрын

because its hard doesn't make it impossible! Stay safe!

@FinExTraining Жыл бұрын

🙏

@neerajsrivastava6177 2 жыл бұрын

Can you please make some videos explaining structured products and exotic options..

@FinExTraining 2 жыл бұрын

Sure. Will certainly make it. Pls give me a week's time.🙏🙏😊

@harapriyamohanta5520 2 жыл бұрын

Sir made a video about private equity. As am dealing with ETC market so don't know much about private equity and about Corporate action also.

@FinExTraining 2 жыл бұрын

Sure, will make it! Thank you for watching the video! Please share it with your friends as well.🙏🙏😊

@bhanupriya2528 14 күн бұрын

Thank you Sir

@FinExTraining 13 күн бұрын

Most welcome. Feel free to watch other videos as well.

@user-ge5pj6mf1s 9 ай бұрын

Good video, I have a video may I now where the Register and Share transfer agent role in this, Could you please explain that as well may be in next video.

@FinExTraining 9 ай бұрын

Registrars and Transfer Agents get the beneficiary owner's name from the Depository at the time of paying Dividends or any Corporate Actions. Will try to make a video in future. Thanks for watching and commenting.

@shivanisaniyan2102 Жыл бұрын

Thanks for explanation can you please make video of basic concept of trade and settlement

@FinExTraining Жыл бұрын

Thanks Shivani for watching the video and commenting! Will make more videos on trade and settlement in future for sure.

@AkshataHiremath-cp5mq 18 күн бұрын

Hi Sir, Your explanation is good, however notes are mixed up. Please write clearly step by step. Thank you 🙏

@FinExTraining 18 күн бұрын

finextraining.com/general-finance/trade-life-cycle-of-equities/ You may read this link for the notes. Thank you.

@eddanapudir 4 ай бұрын

Hi FinEx Training, Thanks for very detailed explanation on this topic. Helps a lot. Any idea where Market Data Handlers sit in the whole picture please?

@FinExTraining 4 ай бұрын

They fit in Portfolio valuation. As the securities price keeps changing, latest data is collected from Market Data handlers to value securities. They may fit in many other work also. This is just one example I have given.

@prathima09prakash Жыл бұрын

Hello sir I am new to trading but your video gave very good information however a small request if you can give more details on settlement instructions step what is standard settlement and non standard when will we get null it will be very helpful for me. Thank you

@FinExTraining Жыл бұрын

Will make a video and explain in a week's time. Thank you! In the meanwhile, feel free to watch other videos as well. Thank you! Happy Learning.

@sushantkumardas3848 2 жыл бұрын

Nic explained plz share OTC markets.

@FinExTraining 2 жыл бұрын

Thank you so much Sushant! Will certainly make on OTC products in few days. In the meanwhile, feel free to check out other videos of this channel and give your feedback. Happy Learning!👍

@FinExTraining 2 жыл бұрын

Hi Sushant, uploaded video for OTC Markets now. Kindly, check it.

Жыл бұрын

Great presentation. But it's more perfect if you can use a process flow or something for more clear about the process. Thanks a lot

@FinExTraining Жыл бұрын

Thanks for the feedback! Will certainly consider it. 👍

@praveenbhise8549 2 жыл бұрын

Nice Video. Sir just had one doubt in Clearing Stage you mentioned T+3 and after that for Custodian you mentioned T+2 ? Does it mean trade is credited and debited first on T+2 and then on next day Transaction is is cleared hence T+3 ?

@FinExTraining 2 жыл бұрын

Hi Praveen, Thanks for your query. Trade is cleared on T+2 and settled(debited and credited) on T+3. Pls feel free to call me 9867242021 if u need further explanation. Thank you.😊🙏

@honeylemontea 2 ай бұрын

great video! Can you please share what hardware and technology product do you do you use when you draw and write ?

@FinExTraining 2 ай бұрын

There is a writing tablet and pen available from Rs.3000 to over Rs.50000 in Amazon from companies like Huion and so on. U have to just connect this writing tablet to your laptop. Down Microsoft OneNote.to write on it. That much only needed.

@prakashwillrocku 3 ай бұрын

❤❤❤

@FinExTraining 3 ай бұрын

Thank you so much!!

@sowmyashree1014 Ай бұрын

Thank you Sir for clearly explained, where is part 2?

@FinExTraining Ай бұрын

Reasons for a Failed Trade| Trade Life Cycle-Part2|Buy-in and Sell-out| Auction kzfaq.info/get/bejne/l9apfsSY3LyyhnU.html

@FinExTraining Ай бұрын

OTC Trade Life Cycle? Which platforms are used for OTC Trade kzfaq.info/get/bejne/kJmCe5pmtc2WpIE.html

@962tushar Жыл бұрын

Great video! A few questions 1)Can custodian and broker be different? e.g. from an Indian context usually all Depository participants are Brokers. Can you give an example where it's not the case, even if that's not in India? 2) The trade account is pre-funded by normal investors in the broker/custodian account. Since the depositary holds the account of the custodian and my understanding so far is DvP(Delivery of security against Payment) is happening between custodian pool accounts, does the custodian hold a cash account along with the security account, with the Depositary where he puts in a chuck of money to allow for DvP. Is this like an escrow account? The custodian has to maintain cash liquidity in his cash account to allow for DvP? 3) At the time of settlement the Depository directly issues notifications to custodians about the settlement or if some other party is involved?

@FinExTraining Жыл бұрын

1. Tamil Nad Mercantile Bank (TMB) is the Depository Participant(opens demat account). It has tie up with Religare securities to open trading account (broker). 2. On the basis of the pre-funded amount by the investor in the trade account, pay-in and pay-out work happens (instructions given by the Depository). So, Custodian is not maintaining any escrow account with the Depository, however pooled account will be maintained by the Depository (DTCC) for both securities and cash and so, debit credit happens here. 3 Depository gives instructions to Clearning Member, Clearing Member passes on the instructions to the Custodian.

@962tushar Жыл бұрын

@@FinExTraining thank you for your kind explanation, a follow up questions 1) if we consider a setup described in 1, who sends the settlement instructions? The broker to the custodian and the clearing house to the custodian? The settlement instruction matching done by the custodian? If the matching is done by the custodian only then the settlement instruction is sent to the depository by clearing house?? Also, This settlement matching is part of which stage, trade confirmation?

@FinExTraining Жыл бұрын

@@962tushar . Depository sends settlement instructions to the Clearing Member, which is passed on to the Custodian by the Clearing Member. Settlememt instructions matching is done by the Depository. Pre-settlement matching is done at the Custodian level. In the pre-settlement matching, Custodian does verification and validation.

@mrinalmathur2048 2 жыл бұрын

Very well explained Thanku so much, I have one query if you can explain. This trade was exchange traded what if the the trade was OTC product. Then on which platform broker would find another leg(matching trade)

@FinExTraining 2 жыл бұрын

Difficult to explain in one line, however, appreciate your question. Pls give me some days of time. Busy with some work. Will make a full fledged video on OTC Trade Life Cycle. In the meanwhile, feel free to check out other videos as well. Thanks you!

@FinExTraining 2 жыл бұрын

Hi Mrinal, uploaded a video on OTC market. Hope it answers ur query on OTC platforms.

@mrinalmathur2048 2 жыл бұрын

@@FinExTraining Thanku so much sir, u are the best.. 😊😊

@FinExTraining 2 жыл бұрын

🙏🙏🙏😊 Happy Learning.

@mayurikanandi3698 Ай бұрын

Sir please make video in asset management and invoices and Payments cycles

@FinExTraining Ай бұрын

Sure, will make it. In the meanwhile, pls click on the playlist link given here. It is about Alternative Investment. It covers some part of Asset Management. Alternative Investments kzfaq.info/sun/PLwguaD9Dhp493-rVO1pQFN3KYhkD-y0FY

@srishtichauhan4037 2 жыл бұрын

Very well explained. I have a confusing, is trade life cycle for equity and derivatives same?

@FinExTraining 2 жыл бұрын

Thank you for your comments! Trade life cycle for Derivatives will be a little different. Will upload it soon. 🙏

@neerajsrivastava6177 2 жыл бұрын

@@FinExTraining Kindly upload a video explaining the lifecycle of derivatives and explaining the key differences between lifecycle of equity vs derivatives. It would be also helpful if you can share a similar video for FX derivatives

@FinExTraining 2 жыл бұрын

@@neerajsrivastava6177 Will certainly do it. Pls give me few days of time.😊 In the meanwhile, pls check out other videos.

@venkateshshetty3557 10 ай бұрын

Hi Great explanation, can you please also tell the difference between custodian and Custody.

@FinExTraining 10 ай бұрын

Custody account refers to the actual balance of shares and cash. Investment bank which does this work is called Custodian. U may also watch this video to understand Custodian better.... Custodian and Depository - Differences kzfaq.info/get/bejne/iq2Fp7R0q9PFeIk.html

@venkateshshetty3557 10 ай бұрын

@@FinExTraining Great, Thanks for quick response 😊

@Lokesh-bm5ry 2 жыл бұрын

If you listen to him very carefully you will excel

@FinExTraining 2 жыл бұрын

Thank you so much, Lokesh! Very encouraging!

@radharanidora7682 Жыл бұрын

Thanku Sir for explaining this so easy way … I have one doubt if you can clarify … doubt on Trade agreement,, when and how the investor sends back the affirmation?? Example if I hv traded on Zerodha,,, all steps above I can mathch only the trade agreement wants to understand more 🙏🙏🙏🙏

@FinExTraining Жыл бұрын

Thank you so much for watching the video!🙏😊. Retail investors will get the confirmation (contract note) by the evening of the Trade Date, however, when they dont reply, it is taken as affirmation. It means, you are fine with the contract note. When u open demat account, at that time itself, u will sign and agree for such terms. So, affirmation happens for institutional clients who trade for big amount.

@radharanidora7682 Жыл бұрын

@@FinExTraining Thank you Very much sir for clearing my doubt.. Please help me to understand how Future works how we place trade for Future in Zerodha with practical examples please sir 🙏🙏

@FinExTraining Жыл бұрын

@@radharanidora7682 Derivative Forwards and Futures| CFA Level 1| Derivatives explained| Future Derivatives| Derivatives kzfaq.info/get/bejne/abSBbK-m0J-qeIE.html

@radharanidora7682 Жыл бұрын

Thanku very much Sir 🙏🙏

@anushyad6153 4 ай бұрын

I have some doubts sir. If the clearinghouse is dtc, stock exchange should be in US. Is it correct?

@FinExTraining 4 ай бұрын

Yes, correct

@PiyushMaurya007 Жыл бұрын

I'm a bit confused, you said that clearing happens t+0 day but then you mentioned it again for T+2 day. 1) Does clearing happen twice? 2) Are those two offices mid/back? Please clear this doubt

@FinExTraining Жыл бұрын

Trade Execution (Front office)happens on T+0, Clearing happens on T+2 (Back office). If still unclear, feel free to call me on 9840032032. Thanks.

@digantshah1116 2 жыл бұрын

Thank you very much for sharing. However, at 19:50 you mentioned the settlement stage. So, doesn't it have to be T+3 back office?

@FinExTraining 2 жыл бұрын

Thank you, Digant for your question. Settlement happens on T+3 back office only in US.

@neeraj155 2 жыл бұрын

Is it still T+3 in US as far as I know US moved to T+2 in 2017...correct me if I am wrong

@FinExTraining 2 жыл бұрын

@@neeraj155 Thank you for your comments. Yes, you are correct. For most stocks, it is T+2 working days now, however, not for all. I have elaborated the steps for all 3 days here.

@nehaphutanekar9106 3 ай бұрын

Can you please what happens T+1 I don't see that in the video

@FinExTraining 3 ай бұрын

Affirmation happens.

@HarjinderKaur-jy6mr 6 ай бұрын

Hey can you provide notes on investment banking pls

@FinExTraining 6 ай бұрын

Investment banking is a very wide topic. If u specifically mention your question, I can try to help u out. U may call me on 9840032032 if u want to discuss it.

@shrutiradkeradke9942 3 ай бұрын

Sir how can we give a simple way answer to the question of what is Reconciliation in trade life cycle?

@FinExTraining 3 ай бұрын

It refers to finding out the reasons for the discrepancies between two set of records, and rectifying it. Rconciliation can be between Custodian and Depository after the trade gets settled. U may watch this video: What is Reconciliation? kzfaq.info/get/bejne/psxgaJaknc6thYk.html

@shrutiradkeradke9942 3 ай бұрын

@@FinExTraining Thank you Sir.

@user-qg2th4nf3h Жыл бұрын

Sir - What is the name of us Clearing House

@FinExTraining Жыл бұрын

India's clearing houses are NSCCL and ICCL.

@sri4132 Жыл бұрын

@Mr Ashok…is there a way we can get the transcript of this presentation? TIA

@FinExTraining Жыл бұрын

finextraining.com/general-finance/trade-life-cycle-of-equities/

@FinExTraining Жыл бұрын

finextraining.com/career/otc-trade-life-cycle/

@FinExTraining Жыл бұрын

finextraining.com/uncategorized/service-provider-platforms-for-otc-market/

@sri4132 Жыл бұрын

Thanks a lot. Very useful

@vamsisudhir8567 2 жыл бұрын

Hi, could you pls make a video on Indian market conditions

@FinExTraining 2 жыл бұрын

Hi Vamsi, it is the same for Indian market also. The only change is, in India it takes T+2 working days. Trade initiation to Affirmation all happens on T day. Clearing happens on T+1, Settlement happens on T+2 days.

@FinExTraining 2 жыл бұрын

@vamsisudhir8567 2 жыл бұрын

@@FinExTraining tq

@horizonvariations 2 жыл бұрын

When and where does trade allocation happen?

@FinExTraining 2 жыл бұрын

Thank you for your question! Trade Allocation happens after Trade Enrichment if a bulk Trade is placed for various accounts. Example, A Mutual Fund can buy shares and allocate it to various funds. So, in this case, trade allocation will be required. For a retail trade, Trade Allocation step is not required.

@horizonvariations 2 жыл бұрын

@@FinExTraining thanks, so it happens in middle office then?

@FinExTraining 2 жыл бұрын

@@horizonvariations yes

@horizonvariations 2 жыл бұрын

@@FinExTraining Very informative video, thanks!

@FinExTraining 2 жыл бұрын

@@horizonvariations Feel free to check out other videos as well. Happy Learning!🙏😊