Next time the world blows up and blows up your neighborhood broker-dealer and you are brought in to put Humpty back together again, use this cheat sheet.

1. Olu Oni’s 4 Page Cheat Sheet:
When Broker-Dealers Go Bust: How to put Humpty back together again…to pay up

2. Olu Oni’s 4 Page Cheat Sheet:
When Broker-Dealers Go Bust: How to put Humpty back together again…to pay up

3. Olu Oni’s 4 Page Cheat Sheet:
When Broker-Dealers Go Bust: How to put Humpty back together again…to pay up
Claims, Matching and Cash Reconciliation
Post-Armageddon Settlement Environment Post-Armageddon Operational Environment
1. Set Up a Claims Template and workflow
A Claims template will specify what information is to be
captured (separate from the legal Claim itself). E.g.
Counterparty Trade Ids, Trade Details, MTM, Market Data
2. Automate claims workflow and design Claims db
Claims
Inputs/
Workflow
Trade Trade Identifier
Trade Details
Classifications and Status
Pricing Policies Database
Counterparty Database Database
Claims
Counterparty Pricing Market Model
Trade-to-Model Counterparty
Market Database Database Classifications
Mapping Database Identifiers
Database
3. Build/Buy a Matching Engine
4. Match Counterparty Trades
Counterparty 6. Build/Buy a Cashflow Rec
Trade Details 5. Build/Buy a Data Mining Engine Engine
7. Reconcile Cash Receipts
Data
Mining
Engine
Counterparty Trade Confirms Cashflow
Valuations Image Database Rec
Valuations
Consistency Test
Data Warehouse
Matching
Received Cash Expected Cash
Engine
Database Database
Valuations
Database
Matched Trades EOD Ref Data
Database EOD MTM and (Curve, Instrument
EOD Market Data
EOD Risk Identifiers, Books
Net Database
Database Calendars)
Trades Database
Counterparty Collateral and
Hierarchy and Collateral MTM
Exception Trades CSA Database Database
Bid-Offer Spreads
Database

4. Olu Oni’s 4 Page Cheat Sheet:
When Broker-Dealers Go Bust: How to put Humpty back together again…to pay up