Operational Details. 2.1 To enable CRISIL to provide Services, Client will provide to CRISIL the following Information in a timely manner. Information includes, among other things: (a) details of the Securities (including terms sheets or information memorandum in the case of bonds and pass through certificates (PTCs)) forming part of the portfolio of Client Mutual Funds and other relevant information that CRISIL may from time to time request. These details will be provided in the format, mode and manner that CRISIL will specify from time to time. For Securities in respect of which Information is available in CRISIL Bond Valuer, Client will extract the necessary details and provide them to CRISIL in an electronic spread sheet; (b) corporate actions and changes (together with revised data) in respect of the Securities forming part of the portfolio of Client Mutual Funds. This includes, but is not limited to: (i) the cash flows and any revised cash flows (in the case of PTCs), (ii) interest rates and revised interest rates in the case of floating rate bonds (i.e. spreads and revised benchmark yields); (iii) changes to any other terms and conditions that have an impact on Valuations – for example, (A) exercising of options such as put, call, early redemption by the Client or the issuer; (B) change in coupon rate; (C) change in redemption date; and (D) bond restructuring. (c) where Client Mutual Fund(s) add a Security to the Client Mutual Funds’ portfolio, Client will notify CRISIL in writing on the same day that it adds the Security. Client will notify CRISIL in writing on a weekly basis the Securities it has removed from its portfolio. (d) Client will provide its internal rating for unrated Securities forming part of Client Mutual Funds’ portfolio. 2.2 The Report will contain the ISIN, Security name, maturity or deemed maturity date of the Security, clean price (except in case of PTCs where gross price will be provided), yield and modified duration, ratings and rating changes. Initially the Report for corporate bond, commercial paper, certificate of deposit and bills rediscounted and the output of the CAS will be in the formats set out in Annexure B. Reports for the other Securities will be in the format in which CRISIL generally provides. 2.3 CRISIL will track rating changes of the rating agencies that it may from time to time cover (currently, CRISIL, ICRA, CARE, India Ratings and Brickworks). The rating changes published up to 15:30 hours on the day of Valuation will be factored in the Valuation on the same day. Press release documents published by the rating agencies on their respective web sites will be used as the source for this. 2.4 Cut-offs and Target Timelines CRISIL will to the extent practicable adhere to the target timelines set out below in providing the Services: (a) The normal Cut-off and target delivery times for the Report shall be as stated in Annexure E for each Trading Day. For non-Trading Days, if applicable, CRISIL will seek to send the Report at 21:00 hours on the most proximate preceding working day feasible. Where CRISIL acting reasonably considers necessary, it may for specific days revise the Cut-off and target delivery times (for example, on exceptional market movement days). Client acknowledges that the target delivery times stated in Annexure E may take about 3- 4 months to stabilise. (b) Where the Client adds a new Security to its portfolio and provides Information to CRISIL about the new Security which CRISIL receives: (i) by 20:30 hours on the date of purchase, CRISIL will include the Security in its Report prepared on and from the next Trading Day following such intimation; (ii) after 20:30 hours on the date of purchase, CRISIL will include the Security in its Report prepared on and from the 2nd Trading Day following such intimation. (c) In preparing the Methodology for Valuation of a new Security, CRISIL will, where it considers necessary, discuss the Methodology with the ValComm before including those Securities for provision of Services under this Agreement. In such cases, CRISIL will ordinarily intimate the Chairman – ValComm about such Securities by 15:00 hours on the next working day from the day of receipt. (d) Client shall provide to CRISIL via email Information about any corporate actions and changes to the terms and conditions of any of the Securities. Where CRISIL receives this Information: (i) by 13:00 hours on a Trading Day, CRISIL will consider them in the Valuations that it provides for that Trading Day; (ii) after 13:00 hours but no later than 17:00 hours on a Trading Day, then CRISIL will consider them in the Valuations but provide an additional Report on the same day covering the changes to the Securities separately after the relevant target delivery time; (iii) after 17:00 hours on a Trading Day, CRISIL will consider the Securities for Valuations on the next Trading Day.
Appears in 1 contract
Sources: Valuation Agreement
Operational Details. 2.1 To enable CRISIL IMaCS to provide Services, Client will provide to CRISIL IMaCS the following Information in a timely manner. Information includes, among other things:
(a) details of the Securities (including terms sheets or information memorandum in the case of bonds and pass through certificates (PTCs)) forming part of the portfolio of Client Mutual Funds and other relevant information that CRISIL IMaCS may from time to time request. These details will be provided in the format, mode and manner that CRISIL IMaCS will specify from time to time. For Securities in respect of which Information is available in IMaCS Bond valuation Tool or CRISIL Bond Valuer, Client will extract the necessary details and provide them to CRISIL IMaCS in an electronic spread sheetsheet in MS EXCEL;
(b) corporate actions and changes (together with revised data) in respect of the Securities forming part of the portfolio of Client Mutual Funds. This includes, but is not limited to: (i) the cash flows and any revised cash flows (in the case of PTCs), (ii) interest rates and revised interest rates in the case of floating rate bonds (i.e. spreads and revised benchmark yields); (iii) changes to any other terms and conditions that have an impact on Valuations – for example, (A) exercising of options such as put, call, early redemption by the Client or the issuer; (B) change in coupon rate; (C) change in redemption date; and (D) bond restructuring.
(c) where Client Mutual Fund(s) add a Security to the Client Mutual Funds’ portfolio, Client will notify CRISIL IMaCS in writing on the same day that it adds the Security. Client will notify CRISIL IMaCS in writing on a weekly basis the Securities it has removed from its portfolioportfolio within two working days of such removal.
(d) Client will provide its internal rating for unrated Securities forming part of Client Mutual Funds’ Funds portfolio.
2.2 The Report will contain the ISIN, Security name, maturity or deemed maturity date of the Security, clean price (except in case of PTCs where gross price will be provided), yield and modified duration, ratings and rating changes. Initially the The Report for corporate bond, commercial paper, certificate of deposit and bills rediscounted and the output of the CAS aggregator will be in the formats set out in Annexure B. Reports for the other Securities i.e. T-Bill, Gilt and SDL will be in the same format in which CRISIL generally providesIMaCS is currently providing to all AMCs.
2.3 CRISIL IMaCS will track rating changes of the rating agencies that it may from time to time cover (currently, CRISIL, ICRA, CARE, India Ratings and Brickworks). The rating changes published up to 15:30 hours on the day of Valuation will be factored in the Valuation on the same day. Press release documents published by the rating agencies on their respective web sites will be used as the source for this.
2.4 Cut-offs and Target Timelines CRISIL IMaCS will to the extent practicable adhere to the target timelines set out below in providing the Services:
(a) The normal Cut-off and target delivery times time for the Report shall be as stated in Annexure E for each Trading Day. For non-Trading Days, if applicable, CRISIL IMaCS will seek to send the Report at 21:00 hours on the most proximate preceding working day feasible. Where CRISIL IMaCS acting reasonably considers necessary, it may for specific days revise the Cut-off and target delivery times time (for example, on days when the market experiences exceptional market movement daysin yields). Client acknowledges that the target delivery times time stated in Annexure E may take about 3- 3-4 months from the date of this Agreement to stabilise.
(b) Where the Client adds a new Security to its portfolio and provides Information to CRISIL IMaCS about the new Security which CRISIL IMaCS receives:
(i) by 20:30 hours on the date of purchase, CRISIL IMaCS will include the Security in its Report prepared on and from the next Trading Day following such intimation;
(ii) after 20:30 hours on the date of purchase, CRISIL IMaCS will include the Security in its Report prepared on and from the 2nd Trading Day following such intimation.
(c) In preparing the Methodology for Valuation of a new Security, CRISIL IMaCS will, where it considers necessary, discuss the Methodology with the ValComm before including those Securities for provision of Services under this Agreement. In such cases, CRISIL IMaCS will ordinarily intimate the Chairman – ValComm (or another designated member of the ValComm in case the Chairman is not accessible for some reason) about such Securities by 15:00 hours on the next working day from the day of receipt.
(d) Client shall provide to CRISIL IMaCS via email Information about any corporate actions and changes to the terms and conditions of any of the Securities. Where CRISIL IMaCS receives this Information:
(i) by 13:00 hours on a Trading Day, CRISIL IMaCS will consider them in the Valuations that it provides for that Trading Day;
(ii) after 13:00 hours but no later than 17:00 hours on a Trading Day, then CRISIL IMaCS will consider them in the Valuations but provide an additional Report on the same day covering the changes to the Securities separately after the relevant target delivery time;
(iii) after 17:00 hours on a Trading Day, CRISIL IMaCS will consider the Securities for Valuations on the next Trading Day.
Appears in 1 contract
Sources: Valuation Agreement