Outside the Clearing Process Sample Clauses

Outside the Clearing Process. In general, securities making up a Creation Unit must be delivered to an account maintained at the applicable local Subcustodian on or before the International Contractual Settlement Date (defined below). The Participant must also make available on or before the International Contractual Settlement Date, by means satisfactory to the Fund, immediately available or same day funds estimated by the Fund to be sufficient to pay any cash component of the Creation Unit, together with any applicable fees. Any excess funds will be returned following settlement of the issue of the Creation Unit. The “International Contractual Settlement Date” will be the earlier of: (i) the date upon which all of the required securities making up a Creation Unit, and any related cash component and other cash amounts due are delivered to the Fund; and (ii) the latest day for settlement on the customary settlement cycle in the jurisdiction(s) where any of such securities are customarily traded. Except as provided in the next two paragraphs, a Creation Unit will not be issued outside of the Clearing Process until the transfer of good title to the Fund of the securities and the payment of any cash component and applicable fees have been completed. When the Subcustodian confirms to the Fund’s custodian that the required securities (or, when permitted in the sole discretion of the Fund, the cash value thereof) have been delivered to the account of the relevant Subcustodian, the custodian shall will cause the delivery of the Creation Unit. In the event that a deposit of securities is incomplete on the settlement date for a Creation Unit, the Fund may issue a Creation Unit notwithstanding such deficiency in reliance on the undertaking of the Participant to deliver the missing securities as soon as possible, which undertaking shall be secured by the Participant’s delivery and maintenance of collateral consisting of cash having a value at least equal to 115% of the value of the missing securities. The parties hereto agree that the delivery of such collateral shall be made in accordance with cash collateral settlement provided to the Participant by the Transfer Agent. Moreover, the Fund, acting in good faith, may purchase the missing securities at any time and the Participant agrees to accept liability for any shortfall between the cost to the Fund of purchasing such securities and the value of the collateral, which may be sold by the Fund at such time, and in such manner, as the Fund may dete...

Outside the Clearing Process. 1. The following transactions shall be handled Outside the Clearing Process: (a) any purchase or redemption of ETF Shares that the Trust, its Distributor or another authorized agent shall instruct Index Receipt Agent to settle Outside the Clearing Process; and (b) any security that is part of a Creation Deposit or redemption of Creation Units and that according to NSCC rules is deemed to be ineligible for the Clearing Process, including securities that are not eligible to be settled through DTC. 2. Transactions handled Outside the Clearing Process will be processed via proprietary ETF servicing modules. 3. Transactions Outside the Clearing Process shall be effected by Index Receipt Agent on a delivery versus payment and receive versus payment basis, and for DTC eligible securities, through DTC and in compliance with such terms and rules under which the DTC customarily operates. The Trust or the ETF Series shall provide to Index Receipt Agent the information and terms that are necessary to settle each transaction, including the cash value of each security settlement, unless the Trust’s or the ETF Series’s Instruction is that delivery is to be made free of payment; provided, however, that any security that is not DTC eligible shall be settled consistent with standard market practice. US domestic fixed-income securities that are not eligible for settlement through the DTC will be settled free of payment through the U.S. Federal Reserve Bank or similar U.S. clearing structure. Foreign equity securities and fixed income securities will be settled locally free of payment. All transactions handled Outside the Clearing Process that are not settled through DTC shall be effected by ▇.▇. ▇▇▇▇▇▇ pursuant to the terms of the Custody Agreement. 4. The Trust recognizes that (i) fails (including partial fails) to receive one or more of the Deposit Securities needed to settle the creation of a Creation Unit or (ii) fails to receive the ETF Shares on the redemption of a Creation Unit may occur with respect to transactions settled Outside the Clearing Process. 5. If an Authorized Participant has submitted a creation order for an ETF Series Outside the Clearing Process, but is unable to transfer all or part of the Deposit Securities to Index Receipt Agent at or prior to the required time, Order Taker will nonetheless accept the creation order if it is otherwise acceptable in form and substance, and the Trust shall rely on an undertaking by such Authorized Participant to deliv...

Outside the Clearing Process. 1. The following transactions shall be handled Outside the Clearing Process: (i) any purchase or redemption of Creation Units that the Trust, its Distributor or another authorized agent shall instruct Bank to settle Outside the Clearing Process; and (ii) any security issue that is part of a Creation Deposit or redemption of Creation Units and that according to NSCC rules is deemed to be ineligible for the Clearing Process, including securities that are not eligible to be settled through DTC. 2. All such transactions shall be effected by Bank on a delivery versus payment and receive versus payment basis through DTC and according to DTC’s rules, and the Trust or the ETF Series shall provide to Bank the information and terms that are necessary to settle each transaction, including the cash value of each security settlement, unless the Trust or the ETF Series Instruction is that delivery is to be made free of payment; provided, however, that any security that is not DTC eligible shall be settled as a window delivery pursuant to street practice. All such transactions shall be effected by Bank as Custodian and subject to the terms of the Custody Agreement.

Outside the Clearing Process. 1. The following transactions shall be handled Outside the Clearing Process: (a) any creation or redemption of Creation Units that the Trust, its Distributor or another authorized agent shall instruct ▇.▇. ▇▇▇▇▇▇ to settle Outside the Clearing Process; and (b) any security create that is part of a Creation Deposit or redemption of Creation Units and that according to NSCC rules is deemed to be ineligible for the Clearing Process, including securities that are not eligible to be settled through DTC. 2. All such transactions shall be effected by ▇.▇. ▇▇▇▇▇▇ on a delivery versus payment and receive versus payment basis through DTC and according to DTC’s rules, and the Trust or the ETF Series shall provide to ▇.▇. ▇▇▇▇▇▇ the information and terms that are necessary to settle each transaction, including the cash value of each security settlement, unless the Trust’s or the ETF Series Instruction is that delivery is to be made free of payment; provided, however, that any security that is not DTC eligible shall be settled as a window delivery pursuant to street practice. All such transactions shall be effected by ▇.▇. ▇▇▇▇▇▇ as Custodian and subject to the terms of the Custody Agreement. US fixed income securities that are not DTC eligible will be settled free of payment via the Fed or similar US clearing structure. Foreign equity and fixed income securities will be settled locally free of payment where permitted in such market. 3. The Trust recognizes that fails to receive may occur from time to time with respect to one or more of the security creates/redemptions among Deposit/Redemption Securities settled outside the Clearing Process. (a) In the event an Authorized Participant has submitted a Creation Order for an ETF Series outside the clearing process, but is unable to transfer all or part of the Deposit Securities to ▇.▇. ▇▇▇▇▇▇ at or prior to the required time, the Distributor or its agent will nonetheless accept the creation order if it is otherwise acceptable in form and substance, and rely on an undertaking by such Authorized Participant to deliver the missing Deposit Securities as soon as possible, which undertaking shall be secured by such Authorized Participant’s delivery and maintenance of collateral having a percentage value as specified by that Trust, provided that the Trust shall in no event specify a collateral value less than 105% of the value of the missing Deposit Securities. ▇.▇. ▇▇▇▇▇▇ will calculate the requisite collateral level on each bus...

Outside the Clearing Process. 1. The following transactions shall be handled Outside the Clearing Process: (i) the settlement of purchase and redemption orders for Global ETF Series; (ii) any purchase or redemption of NETS Shares that the Trust, its Distributor or another authorized agent shall instruct Bank to settle Outside the Clearing Process; and (iii) any security issue that is part of a Creation Deposit or redemption of NETS Shares and that according to NSCC rules is deemed to be ineligible for the Clearing Process, including securities that are not eligible to be settled through DTC. 2. All such transactions shall be effected by Bank on a delivery versus payment and receipt versus payment basis through DTC and according to DTC’s rules, and the Distributor as agent for the Trust shall provide to Bank the information and terms that are necessary to settle each transaction, including the cash value of each security settlement, unless the Distributor Instruction is that delivery is to be made free of payment; provided, however, that any security that is not DTC eligible shall be settled as a window delivery pursuant to street practice and further provided that all Global ETF Series only settle against payment and not free of payment. All such transactions shall be effected by Bank as Custodian and subject to the terms of the Custody Agreement.

Outside the Clearing Process. 1. The following transactions shall be handled Outside the Clearing Process: (i) any creation or redemption of Creation Units that the Trust, its Distributor or another authorized agent shall instruct ▇.▇. ▇▇▇▇▇▇ to settle Outside the Clearing Process; and (ii) any security issue that is part of a Creation Deposit or redemption of Creation Units and that according to NSCC rules is deemed to be ineligible for the Clearing Process, including securities that are not eligible to be settled through DTC. 2. All such transactions shall be effected by ▇.▇. ▇▇▇▇▇▇ on a delivery versus payment and receive versus payment basis through DTC and according to DTC’s rules, and the Trust or the Funds shall provide to ▇.▇. ▇▇▇▇▇▇ the information and terms that are necessary to settle each transaction, including the cash value of each security settlement, unless the Trust’s or the Funds’ Instruction is that delivery is to be made free of payment; provided, however, that any security that is not DTC eligible shall be settled as a window delivery pursuant to street practice. All such transactions shall be effected by ▇.▇. ▇▇▇▇▇▇ as Custodian and subject to the terms of the Custody Agreement.

Outside the Clearing Process. 1. The following transactions shall be handled Outside the Clearing Process: ETF Agency Services Agreement – December 2010 version (i) any creation or redemption of Creation Units that the Trust, its Distributor or another authorized agent shall instruct J.▇. ▇▇▇▇▇▇ to settle Outside the Clearing Process; and (ii) any security create that is part of a Creation Deposit or redemption of Creation Units and that according to NSCC rules is deemed to be ineligible for the Clearing Process, including securities that are not eligible to be settled through DTC. 2. All such transactions shall be effected by J.▇. ▇▇▇▇▇▇ on a delivery versus payment and receive versus payment basis through DTC and according to DTC’s rules, and the Trust or the ETF Series shall provide to J.▇. ▇▇▇▇▇▇ the information and terms that are necessary to settle each transaction, including the cash value of each security settlement, unless the Trust’s or the ETF Series Instruction is that delivery is to be made free of payment; provided, however, that any security that is not DTC eligible shall be settled as a window delivery pursuant to street practice. All such transactions shall be effected by J.▇. ▇▇▇▇▇▇ as Custodian and subject to the terms of the Custody Agreement.

Outside the Clearing Process. 1. The following transactions shall be handled Outside the Clearing Process: (i) any creation or redemption of Creation Units that the Trust, its Distributor or another authorized agent shall instruct ▇.▇. ▇▇▇▇▇▇ to settle Outside the Clearing Process; (ii) any security create that is part of a Creation Deposit or redemption of Creation Units and that according to NSCC rules is deemed to be ineligible for the Clearing Process, including securities that are not eligible to be settled through DTC; and (iii) cash redemptions. 2. All such transactions shall be effected by ▇.▇. ▇▇▇▇▇▇ on a delivery versus payment and receive versus payment basis through DTC and according to DTC’s rules, and the Trust or the ETF Series shall provide to ▇.▇. ▇▇▇▇▇▇ the information and terms that are necessary to settle each transaction, including the cash value of each security settlement, unless the Trust’s or the ETF Series Instruction is that delivery is to be made free of payment; provided, however, that any security that is not DTC eligible shall be settled as a window delivery pursuant to street practice. All such transactions shall be effected by ▇.▇. ▇▇▇▇▇▇ as Custodian and subject to the terms of the Custody Agreement. US fixed income securities that are not DTC eligible will be settled free of payment via the Fed or similar US clearing structure. Foreign equity and fixed income securities will be settled locally free of payment where permitted in such market. (a) The Trust recognizes that fails to receive may occur from time to time with respect to one or more of the security creates in a basket of Deposit Securities settled outside the Clearing Process, including but not exclusive to non-DTC eligible domestic ETFs, US-domiciled global fixed income ETFs and US-domiciled global equity ETFs. The Trust acknowledges and agrees that, whenever a fail to receive shall occur on a settlement date, ▇.▇. ▇▇▇▇▇▇ will make available to the Trust a report that details such fails to receive and their value. The Trust will in turn instruct the necessary parties about the required collateral that will be delivered to ▇.▇. ▇▇▇▇▇▇ by an Authorized Participant. ▇.▇. ▇▇▇▇▇▇ will maintain a separate account that will be used for receipt of such collateral. Any collateral shall be in the form of US dollars and will be held by ▇.▇. ▇▇▇▇▇▇ subject to the terms of the Custody Agreement. (b) In the event an Authorized Participant has submitted a Creation Order for an ETF Series outside the cleari...