eGAINS Participants

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WELCOME eGAINS Participants Transitioning to
eGAINS Information Sessions
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• Hosts Futures Industry Association (FIA)
• Clearing Corporation (CCorp)
• Markit Group
• Participants eGAINS Users (London, New York,
  Chicago)

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• Presentation Schedule (via WebEx)
• 330 430 p.m. (London time)
• Agreements Transition EGUS to eGAINS (Thursday,
  April 3 Tuesday, April 8)
• Trade Processing Trade Flow, Layout, Reports
  (Thursday, April 10 Tuesday, April 15)
• Banking Billing Cycle and Money Flow (Thursday,
  April 17 Tuesday, April 22)
• Iterations Implementation Feedback and
  Enhancements (Thursday, May 1)
• On-Site Training Schedule London
• Tuesday, June 10 1000 a.m., 200 p.m. ,
  Canary Wharf (TBD)
• Wednesday, June 11 200 p.m., 345 p.m., The
  Brewery, Chiswell Street
• Thursday, June 12 1000 a.m., 200 p.m., JP
  Morgan, 125 London Wall

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I. Agreements   Purpose Transition and Validate EGUS Agreements and Rates to eGAINS   Fundamental Issue/Question How does EGUS talk to eGAINS?   Agenda   Thursday, April 3 Tuesday, April 8 330 430 p.m. (London time)   EGUS/eGAINS Agreement and Rate Uploads (FIA) Electronic Manual Participant Set-up Rate Verification One-to-One Link Agreement/Account /Rate eGAINS Overview (FIA, Markit) Role of Systems Providers Participating Exchanges Settlement Currency System Access Exhibit Review Data Mapping (CCorp) Learning Environment Access (CCorp) Testing Module (CCorp) Trade Load Auto Upload Manual Individualized Testing Phases 1-3 (CCorp) Resource Links Contacts II. Trade Processing   Purpose Examine Exchange Trade Flow, Data Layout and Position Posting and Report Generation   Fundamental Issue/Question How can I validate my trade data?   Agenda   Thursday, April 10 Tuesday, April 15 330 430 p.m. (London time)   Exchange Trade Flow and System Requirements (CCorp) Overview How does eGAINS work Trade Mapping Exchange Codes Product Codes Platform Transaction Source Codes Deadlines (Agreement Changes and Maintenance) Record LayoutOutput Review (CCorp) Detailed Character Layout Month-End Cycle (FIA) Trade Processing (FIA) Rates Position Reconciliation Pay/Collect Reconciliation Outputs Reports, T1 and Month-end (CCorp) Confirmation / Change Processing On-line Data Files and Downloads Resource Links Contacts III. Banking Purpose Review Billing Cycle, Money Flow, and Month-End Adjustments   Fundamental Issue/Question How are pay/collects managed?   Agenda   Thursday, April 17 Tuesday, April 22 330 430 p.m. (London time)   Participant Banking Instructions and Maintenance (FIA) Banking Overview and System Functionality (FIA) What is SWIFT? Confirmation of Banking Instructions (mechanics, procedures, and deadlines) Month-End Processing Deadlines (FIA) Third Party Billing (FIA and CCorp) Managing Accruals (FIA) Reports (CCorp) Systems Testing (CCorp) Participating Firm Summary (Banking) To-Do List Resource Links Contacts IV. Next Iteration   Purpose Provide Update(s) and Solicit Feedback   Fundamental Issue/Question What is the next step?   Agenda   Thursday, May 1   330 430 p.m. (London time)   To-Dos Checklists UPDATE Third Party Relationship Front-End (Participant Set Up) Back-End FEEDBACK A Formal Checkpoint Agreement, Statement of Intent, Banking Instructions Trade Processing Banking Testing Systems Launch FUTURE Industry Enhancements Participant Wish List (Participants) Procedure for adding (new) FX Settlements (FIA) Other Exchange Participants (FIA) Reducing the Credit Window (FIA) Resource Links Help Desk Contacts
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• To-Dos Checklists
• UPDATE Third Party Relationship
• Front-End (Participant Set Up)
• Back-End FIA Tech
• FEEDBACK A Formal Checkpoint
• Agreement, Statement of Intent, Banking
  Instructions
• Trade Processing
• Banking Users / Participating Firms
• Testing
• Systems
• Launch
• FUTURE Industry Enhancements
• FPS Launch (banking) (FIA)
• Participant Wish List (Participants)
• Procedure for adding (new) FX Settlements
  (FIA) FIA Tech and Users / Participating Firms
• Other Exchange Participants (FIA)
• Reducing the Credit Window (FIA)

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• Session 4. Next Iteration
• Purpose
• Provide updates since last Session(s) and solicit
  participant feedback.
•  
• Fundamental Issue/Question
• Now what?
• From a participating firms perspective, what do
  I need to do for the eGAINS launch?

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• Session 4. Next Iteration
• Agenda
• To Dos Participant Checklist (FIA)
• Third Party Relationship
• Front-End (Participant Set Up)
• Back-End
• Feedback A Formal Checkpoint (User Feedback)
• Agreements
• Trade Processing
• Banking
• Testing
• Systems
• Launch

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• Session 4. Next Iteration
• Agenda Continued
•  
• Industry Updates
• Reports (CCorp)
• Systems Testing (CCorp)
• Participating Firm Summary (Banking) To-Do List
• Resource Links
• Help Desk
• Contacts

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• Processing Overview
• Eurex Debtor Bank
• ICE Markit eGAINS Bank Correspondent
• Liffe EGUS Creditor Bank
• Member Firm

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• Firm Checklist
• File e-GAINS Processing Agreement with FIA Tech
• Complete Statement of Intent
• Provide FIA Tech with the eGAINS test coordinator
• Provide detailed banking instructions to FIA Tech
• Add to EGUS Admin (Search Institution and
  Parties, Maintain Parties) Exchange and Firm
  Codes
• Enable EGUS for auto rate load (EGUS Maintain
  Party Permissions, Enable Rate Data Feed)
• File 3rd Party Debit Authorization Form with
  bank(s)
• Forward completed copies of 3rd Party Debit
  Authorization Forms to FIA Tech
• Request Learning Environment user ID and password
• Add rates, formerly maintained via pdf, into EGUS
• If you require an automated trade reconciliation
  tool, obtain CCorps layout specifications doc
• Script special test scenarios
• Test rates and sign-off on reports
• Test trades and sign-off on reports
• Test monies (direct and third party) and sign-off
  on reports

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• What Is On Our To-Do List?
• FIA
• Finalize service provider negotiations and
  agreements
• Finalize web page links and resource docs
  (www.futuresindustry.org)
• Receive firm training liaison contact name,
  telephone number and email address
• Receive 3rd Party Debit Authorization Form from
  all participants
• Obtain participant banking instructions and input
  detailed instructions into database
• Create eGAINS participant IDs and grant access to
  eGAINS QA and production systems
• Determine currency settlement offerings for
  launch
• Co-coordinate methodof-execution designator on
  trade record
• Test banking module
• Compile user guidelines, procedures, manuals, and
  related documents
• Facilitate user training in London (June 10-12)
• Establish DR procedures

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• What Is On Our To-Do List? Continued
• CCorp
• Link exchange and EGUS commodity/product and
  group codes
• Review Exchange test and production (starting May
  15) trade files
• Co-coordinate methodof-execution designator on
  trade record
• Establish protocol for receipt of daily exchange
  trade data
• Complete software implementation and train Markit
  staff on daily operations
• Ensure EGUS and eGAINS rate and agreement mapping
  and posting
• Redesign daily, monthly, and end-of-cycle reports
  to accommodate gross reporting and 3rd party
  relationships
• Create Learning Environment (LE) IDs, passwords,
  and administer LE testing (upon request)
• Test month-end banking transmission to FIA and
  banking correspondent
• Create training plan and test scenarios (Phases
  1-3)
• Facilitate user training in London (June 10-12)
• Compile user guideline, procedures, manuals, and
  related documents
• Establish DR procedures

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• What Is On Our To-Do List? Continued
• Markit
• Train w/CCorp to assume daily operations
• Create user log on page and system interface
• Test receipt of exchange trade data
• Compile user guideline, procedures, manuals, and
  related documents (system procedures)
• Manage eGAINS help desk post launch
• Establish DR procedures

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• UPDATE Third-Party Relationship, Executing Firm
  to Customer (FIA)
• EGUS allows participants to list the Executing
  Broker, Clearing Broker, Customer, and Trader in
  the give-up agreement. Additionally,
  participants provide FIA Tech with detailed
  banking instructions for automated month-end pay
  and collect processing.
• Executing Broker the party executing customer
  orders on a futures exchange.
• Clearing Broker the party maintaining accounts
  to which the executing broker gives-up trades.
• Customer the party to whose account the
  given-up trades belong and shall reside.
• Trader the party authorized to place orders
  with the executing broker on behalf of the
  customer.
• Working through their Clearing or Execution Firm,
  the third-party or customer (in order to
  facilitate payment to the executing firm through
  eGAINS), must become an eGAINS participant by
  completing the eGAINS Processing Agreement and
  submitting their banking instructions to FIA
  Tech. Within the EGUS / eGAINS third-party
  relationship, the executing broker has the
  ability to bill the customer and receive the
  execution fees through the system as opposed to
  invoicing the customer for payment outside of the
  eGAINS system. Since rates and give-up fee
  information is proprietary, the executing brokers
  may hide the rate schedule from the clearing
  broker (since, in third-party relationships, the
  clearing broker is not part of the billing
  process).

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• UPDATE Third-Party Relationship, Executing Firm
  to Customer (FIA) Continued
• Executing Firm
• Reports and Monies Set-Up and Flow
• EGUS Bill To Customer Hide Rates
• eGAINS Bill to Third Party Ex Code
• - Customer completes Agreement
• - Suppresses fees and rate schedule
• from clearing firm view
• - Reports are distributed to
• customer not clearing firm
• Clearing Firm Customer
• Positions

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• UPDATE Third Party Relationship, Executing Firm
  to Customer (FIA) Continued
• Bill the customer and process the payment through
  eGAINS
• Customer completes the eGAINS Processing
  Agreement
• Customer provides FIA Tech with detailed banking
  instructions
• EGUS Bill To, Customer
• EGUS Hide Rates
• eGAINS Designate the agreement as a Third Party
  Agreement (allows eGAINS to facilitate payment
  from customer to Executing Firm)
• eGAINS Bill To Third Party
• eGAINS Add the Third Partys carrying
  participant Exchange/Firm code
• or
• Bill the customer and process the payment outside
  of eGAINS
• Executing Firm completes the eGAINS Processing
  Agreement
• EGUS Bill To, Customer
• EGUS Direct Bill Y

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• FEEDBACK A Format Checkpoint (Participants)
• Agreement, Statement of Intent, Banking
  Instructions
• Please comment on the application interfaces and
  provide insights relative to your state of
  readiness
• Participant Comments and Responses
• What is the timeline for having the above items
  completed (eGAINS Processing Agreement, Statement
  of Intent, Banking Instructions, and related
  participant documents)?
• Documents are in final review and should be
  distributed to participants in the upcoming
  weeks. Return deadlines shall be communicated at
  the time of distribution.

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• FEEDBACK A Format Checkpoint (Participants)
  Continued
• Trade Processing
• Please comment on the application interfaces and
  provide insights relative to your state of
  readiness
• Participant Comments and Responses
• Identification of trade types and method of
  execution will have a big impact on firms.
• To the extent that firms charge different rates
  for a client-execute relative to a trading
  desk-execute, weve asked the exchanges to
  provide a dedicated method of execution trade
  record field. Firms have participated in the
  conference call with the exchanges and their
  technology teams and discussions are ongoing.
• Method of execution involves front end work for
  firms also.
• In the event of record layout changes, we will
  promptly communicate with the firms in order to
  provide as much time a possible to manage the
  system change.

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• FEEDBACK A Format Checkpoint (Participants)
  Continued
• Trade Processing
• Please comment on the application interfaces and
  provide insights relative to your state of
  readiness
• Participant Comments and Responses
• How will reversals (trade date and T1 reversing
  transactions) be handled in eGAINS?
• Create test scenarios to test same day and T1
  reversals
• We will test exchange functionality relative to
  top day and T1 reversals in June. Detailed
  procedures shall follow.
• If Eurex sends an EFP, will eGAINS charge a rate
  for it?
• Yes, to the extent a fully-executed agreement and
  rate schedule delineates the commodity and EFP
  rate.

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• FEEDBACK A Format Checkpoint (Participants)
  Continued
• Trade Processing
• Please comment on the application interfaces and
  provide insights relative to your state of
  readiness
• Participant Comments and Responses
• What happens if an exchange sends a trade for
  which there is no agreement?
• In the event of no agreement for the underlying
  trade, the trade will appear on a daily and
  monthly trade report as unlinked. Further the
  trade will appear in eGAINS on the Trade Inquiry
  Update query screen.
• When will the exchanges send data so that firms
  could test with eGAINS and their internal
  systems?
• We expect to receive exchange production trade
  data beginning May 15. Shortly thereafter,
  Markit will make the trade information available
  to all participants.

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• FEEDBACK A Format Checkpoint (Participants)
  Continued
• Trade Processing
• Please comment on the application interfaces and
  provide insights relative to your state of
  readiness
• Participant Comments and Responses
• Duration of testing is a concern - may not have
  sufficient time to test all functionality for
  parties.
• To help manage the testing function, CCorp is
  providing a comprehensive test schedule. We ask
  all users to review the CCorp plan, add specific
  trades to test unique scenarios to the firm, and
  communicate with FIA Tech in the event of issues
  or concerns.
• Training Sessions (June 10-12) What will be
  reviewed in the 3 hour sessions? Will there be a
  training manual? Can it be distributed now?
• The June 10 and 12 training sessions are
  designed for eGAINS users. Issues discussed
  include front-end set-ups, EGUS to eGAINS
  mapping, systems access, trade processing, report
  review, test plans, billing, and money flows.
  June 11 is a high-level overview of eGAINS
  functionality.

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• FEEDBACK A Format Checkpoint (Participants)
  Continued
• Banking
• Please comment on the application interfaces and
  provide insights relative to your state of
  readiness
• Participant Comments and Responses
• Need to ensure all pertinent currencies are
  included in launch (Swiss Franc, Yen, etc.)
  reference list formerly provided to Mary Ann.
• Need update with getting these currencies in
  eGAINS for launch.
• At launch, settlement currency include CHF,
  EUR, GBP, ISK, JPY, NOK, PLN, SEK, TRY, USD,
• and ZAR

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• Test Schedule (CCorp)
• On-Site Training - London June 10-12
• Due to the complexities of the EGUS to eGAINS
  integration, firm testing will proceed in three
  phases (rates, trade processing, monies).
• Phase 1 (June 10 27) - Rates
• EGUS rates are electronic, pdf, or both
• Electronic
• Automatic upload.
• Once the firms EGUS Systems Administrator
  enables the EGUS to eGAINS rate feed (EGUS
  Maintain Party Permissions, Enable Rate Data
  Feed), electronically stored rates in EGUS will
  post to eGAINS without firm intervention. Firms
  will be able to view the EGUS rate upload to
  eGAINS online (through eGAINS systems access),
  hard-copy (GNS reports), or through an ASCII text
  file download. Firms should review the eGAINS
  and advise FIA of errors by June 2.

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• Test Schedule (CCorp) Continued
• Pdf
• Manual input (deadline June 27).
• Steps to add eRate schedules to an executed
  agreement w/pdf already attached
• 1)      Create the eRate and save to eRate
  Library
• 2)      Go to executed agreement and click on
  agreement ID
• 3)      Click on the EDIT button in the accounts
  and rates box on the View and Manage screen
• 4)      Scroll down to the Attach Rate
  Schedules box and select the eRate from you
  library
• 5)      Click attach
• 6)      Click Save Next and you will see it
  was added to the agreement
• NOTE The aforementioned has no impact on the
  EGUS agreement nor will it require counterparty
  review or acknowledgement. 

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• Test Schedule (CCorp) Continued
• CCorp Test Scenarios
• EGUS Agreements EGUS Account Permutations EGUS
  Rate eGAINS Agreement
• (Customer and Trader) Executing / Clearing
  Accounts Table Permutations Permutations
• Customer One / One One One
• Many
• One / Many One One
• Many
• Many / One One Many
• Many
• Many / Many One Many
• Many

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• Test Schedule (CCorp) Continued
• Firm Questions
• What is the Customer and Trader agreement type
  ratio (50/50)? One firmmajority of agreements
  were Standard Trader with Clearing Broker being
  billed 98 of the time.
• To what extent do you have multiple execution
  accounts on one agreement?
• To what extent do you have multiple clearing
  accounts on one agreement?
• To what extent do you have multiple rate tables
  to one agreement?
• In the event you use multiple rate tables for one
  agreement, are there product overlaps between
  rate tables?
• To what extent will you participate in 3rd party
  billing (your customer pays the executing firm
  through the eGAINS banking module)?
• Other permutations for consideration?
• Firms should assess their conditions and respond
  via email to the above questions.

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• Test Schedule (CCorp) Continued
• Phase 2 (July 1 August 21)
• Trade Processing and Monthly Trade Adjustments
• Production
• Production trade files will be received daily
  beginning May 15
• We will provide test scripts for high-level
  testing (general scenarios)
• Firm Specific
• Firm specific trades, rates, and relationship
  nuances should be tested
• Firms enter trades into eGAINS and/or supply
  trade files to CCorp for loading into eGAINS
• Firms should verify trade postings, system
  functionality (corrections, deletes, rejects),
  rates, calculations through eGAINS online,
  hard-copy (GNS reports), or through an ASCII test
  file download

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• Test Schedule (CCorp) Continued
• Phase 3 (August 5 August 25)
• Monthly Cash Adjustments and Banking
• We will provide test scripts for high-level
  testing (general scenarios)
• Enter month-end adjustments
• Confirm debit and credit (gross) posting through
  eGAINS online, hard-copy (GNS reports), or
  through an ASCII test file download

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• FEEDBACK A Format Checkpoint (Participants)
  Continued
• Testing
• Please comment on the application interfaces and
  provide insights relative to your state of
  readiness

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• FEEDBACK A Format Checkpoint (Participants)
  Continued
• Systems
• Please comment on the application interfaces and
  provide insights relative to your state of
  readiness

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• FEEDBACK A Format Checkpoint (Participants)
  Continued
• Launch
• Please comment on the application interfaces and
  provide insights relative to your state of
  readiness
• Participants Comments
• FIA and CCorp requested the firms review
  end-of-day and end-of-cycle reports and data
  files to ensure layout and content meets
  expectations.

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• FUTURE Industry Enhancements (Participants)
• Participant Wish List
• Participant Comments and Responses
• Add flag to indicate bill to party within EGUS.
• Markit is assessing the programming changes
  necessary to accommodate the change and shall
  advise.
• Comment to participants PLEASE review
  reports/communicate enhancements to end of day
  reports, data files, or web pages

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• FUTURE Industry Enhancements (FIA) Continued
• Procedure for Adding (new) FX Settlements (FIA)
• New settlement currency requests should be
  directed to Mary Ann Burns at FIA Tech.
• Other Exchange Participants (FIA)
• Discussions are ongoing.
• Reducing the Credit Window (FIA)
• In the opening days of eGAINS, funds will be held
  by FIA Tech for 60 business days. The number of
  days will drop as more users are added to the
  system. We anticipate dropping the float period
  to 20 days once the amount of money flowing
  through the system reaches projected levels.

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• Resource Links
• http//www.futuresindustry.org/
• General
• Timeline
• Frequently Asked Questions (FAQs)
• On-Boarding
• eGAINS Processing Agreement
• Statement of Intent
• CCorp
• Data Layout Specifications
• Report Library
• Learning Environment
• Test Trades Submission Spreadsheet
• Test Plan Phases 1-3

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• Help Desk
• FIA Tech
• Joint effort between FIA Tech London and
  Washington. Details pending.
• CCorp
• Post launch, primary support provided by FIA
  Tech and Markit. CCorp will provide 2nd level
  support to FIA Tech and Markit.
• Markit
• FIA EGUS and eGAINS SupportEmail
  support_at_markit.com From 8 am to 6 pm CET 31
  20 502 5888 From 8 am to 6 pm GMT 44 (0) 20
  7260 2111 From 8 am to 6 pm Eastern Time 1
  (877) 7-MARKIT
• If you cannot dial 877 number above, call 1
  [phone] and ask for EGUS support

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• Contacts
• FIA Tech
• Robert Drew, Consultant, 07812991191,
  rdrew_at_futuresindustry.org
• David Adam, Consultant, 312.786.3821,
  dadam_at_futuresindustry.org
• Ron Metcoff, Treasury Consultant, 215.272.6593,
  rmetcoff_at_futuresindustry.org
• Krystal Atha, Relations Manager, 202.466.5460,
  katha_at_futuresindustry.org
• David Wilson, Technology Project Manager,
  202.466.5460, dwilson_at_futuresindustry.org
• Mary Ann Burns, Executive Vice President Industry
  Relations, 202.466.5460, maburns_at_futuresindustry.o
  rg
• CCorp
• Marc MacQuarrie, Client Services and Support,
  312.786.5732, marc.macquarrie_at_clearingcorp.com
• James Woods, Vice President, Production
  Management Group, 312.786.5715,
  james.woods_at_clearingcorp.com
• Markit
• Tony Murljacic, Director, Head of Trade
  Processing Connectivity, 914.872.2905,
  tony.murljacic_at_markit.com

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Thank You for Attending