| ISO20022

Note

The use of this message type requires Message User Group (MUG) registration.

Important!

The user header of the message (block 3) is mandatory and must contain a code in the Validation Flag field 119 ( {3:{119:xxxx}} ) to identify the exposure type or collateral reason.

These codes may be used for routing purposes.

MT506 Scope

This message is sent either by the collateral giver, or its collateral manager, to the collateral taker, or its collateral manager, or by the collateral taker, or its collateral manager to the collateral giver, or its collateral manager.

It is used to provide the details of the valuation of both the collateral or the exposure or both.

This message is also used by the taker or the giver to request the cancellation of a previously sent collateral and exposure statement.

This message must not be used to claim collateral but may be used in support of a claim.

The message may also be used to:

re-send a message previously sent (Subfunction of the message is DUPL)
provide a third party with a copy of the message for information (Subfunction of the message is COPY)
re-send to a third party a copy of the message for information (Subfunction of the message is CODU)

MT506 Format Specifications

The statement consists of four sequences:

Sequence A General Information provides general information about the message and the collateral transaction, that is, the function of the message, the identification of the collateral transaction, the references of the linked messages, the identification of the underlying agreement(s), the identification of the parties, the reason for which collateral is needed, the exposure type and the contact information.

Note
More than one occurrence of the agreement is only authorised for cross-product collateralisation and when there is no overall master agreement in place yet.
Sequence B Summary provides information related to the collateral position, that is, the identification of the exposed party, the total exposure amount and the total collateral amount held by the taker. It also contains the valuation dates and the requested settlement date of collateral if there is a shortage of collateral. The sequence contains an optional subsequence with the amounts taken in to account to calculate the collateral position. These amounts are required for certain types of exposures.
Repetitive sequence C Exposure Valuation Details contains the valuation details of the exposure. The identification and the value of the trades and the other elements that constitute the total exposure are included one by one.
Repetitive sequence D Collateral Valuation Details contains the valuation details of the collateral held by the taker. The identification and the value of each piece of collateral are included one by one.

Status	Tag	Qualifier	Generic Field Name	Detailed Field Name	Content/Options	No.
Mandatory Sequence A General Information
M	16R			Start of Block	GENL	1
M	28E			Page Number/Continuation Indicator	5n/4!c	2
----->
M	20C	4!c	Reference	(see qualifier description)	:4!c//16x	3
-----\|
M	23G			Function of the Message	4!c[/4!c]	4
-----> Mandatory Repetitive Subsequence A1 Agreement
M	16R			Start of Block	AGRE	5
O	22F	AGRE	Indicator	Agreement Indicator	:4!c/[8c]/4!c	6
O	98A	AGRE	Date/Time	Agreement Date	:4!c//8!n	7
O	13B	AGRE	Number Identification	Agreement Version Number	:4!c/[8c]/30x	8
O	70C	AGRE	Narrative	Agreement Narrative	:4!c//4*35x	9
M	16S			End of Block	AGRE	10
-----\| End of Subsequence A1 Agreement
O	98a	PREP	Date/Time	Preparation Date/Time	A, C, or E	11
M	22a	COLA	Indicator	Exposure Type Indicator	F or H	12
----->
M	95a	4!c	Party	(see qualifier description)	P, Q, or R	13
-----\|
O	70C	PACO	Narrative	Party Narrative	:4!c//4*35x	14
-----> Optional Repetitive Subsequence A2 Linkages
M	16R			Start of Block	LINK	15
O	13a	LINK	Number Identification	Linked Message	A or B	16
M	20C	4!c	Reference	(see qualifier description)	:4!c//16x	17
M	16S			End of Block	LINK	18
-----\| End of Subsequence A2 Linkages
M	16S			End of Block	GENL	19
End of Sequence A General Information
Mandatory Sequence B Summary
M	16R			Start of Block	SUMM	20
M	95a	EXPP	Party	Exposed Party	P, Q, or R	21
----->
M	19B	4!c	Amount	(see qualifier description)	:4!c//3!a15d	22
-----\|
----->
M	98a	4!c	Date/Time	(see qualifier description)	A or C	23
-----\|
Optional Subsequence B1 Summary Details
M	16R			Start of Block	SUMD	24
----->
O	19B	4!c	Amount	(see qualifier description)	:4!c//3!a15d	25
-----\|
M	16S			End of Block	SUMD	26
End of Subsequence B1 Summary Details
M	16S			End of Block	SUMM	27
End of Sequence B Summary
-----> Optional Repetitive Sequence C Exposure Valuation Details
M	16R			Start of Block	EXPD	28
----->
O	20a	4!c	Reference	(see qualifier description)	C or U	29
-----\|
M	22a	COLA	Indicator	Exposure Type Indicator	F or H	30
O	98A	TRAD	Date/Time	Trade Date	:4!c//8!n	31
----->
O	95a	4!c	Party	(see qualifier description)	P, Q, or R	32
-----\|
----->
M	19A	4!c	Amount	(see qualifier description)	:4!c//[N]3!a15d	33
-----\|
O	99A	DAAC	Number Count	Number of Days Accrued	:4!c//[N]3!n	34
O	22F	MICO	Indicator	Method of Interest Computation Indicator	:4!c/[8c]/4!c	35
----->
M	92a	4!c	Rate	(see qualifier description)	A or B	36
-----\|
O	70D	EXPO	Narrative	Exposure Narrative	:4!c//6*35x	37
Optional Subsequence C1 Securities Valuation Details
M	16R			Start of Block	SECS	38
M	19B	MRKT	Amount	Market Price Amount	:4!c//3!a15d	39
M	35B			Identification of the Financial Instrument	[ISIN1!e12!c] [4*35x]	40
M	36a	SECV	Quantity of Financial Instrument	Quantity of Securities Valued	B or D	41
M	92A	SHAI	Rate	Securities Haircut	:4!c//[N]15d	42
M	16S			End of Block	SECS	43
End of Subsequence C1 Securities Valuation Details
Optional Subsequence C2 Treasury Valuation Details
M	16R			Start of Block	TREA	44
----->
M	98A	4!c	Date/Time	(see qualifier description)	:4!c//8!n	45
-----\|
----->
O	19B	4!c	Amount	(see qualifier description)	:4!c//3!a15d	46
-----\|
O	70C	COMI	Narrative	Commodity Index Narrative	:4!c//4*35x	47
O	12B	OPTI	Type of Financial Instrument	Option Type	:4!c/[8c]/4!c	48
O	90a	EXER	Price	Exercise Price	A or B	49
M	16S			End of Block	TREA	50
End of Subsequence C2 Treasury Valuation Details
Optional Subsequence C3 Repo Valuation Details
M	16R			Start of Block	REPV	51
----->
M	98A	4!c	Date/Time	(see qualifier description)	:4!c//8!n	52
-----\|
----->
M	19B	4!c	Amount	(see qualifier description)	:4!c//3!a15d	53
-----\|
M	92A	REPO	Rate	Repurchase Rate	:4!c//[N]15d	54
M	16S			End of Block	REPV	55
End of Subsequence C3 Repo Valuation Details
M	16S			End of Block	EXPD	56
-----\| End of Sequence C Exposure Valuation Details
-----> Optional Repetitive Sequence D Collateral Details
M	16R			Start of Block	COLD	57
M	20C	COLR	Reference	Collateral Reference	:4!c//16x	58
M	22H	COLL	Indicator	Collateral Type Indicator	:4!c//4!c	59
O	25D	SETT	Status Code	Settlement Status	:4!c/[8c]/4!c	60
----->
M	19B	4!c	Amount	(see qualifier description)	:4!c//3!a15d	61
-----\|
O	99A	DAAC	Number Count	Number of Days Accrued	:4!c//[N]3!n	62
O	22F	MICO	Indicator	Method of Interest Computation Indicator	:4!c/[8c]/4!c	63
----->
M	92a	4!c	Rate	(see qualifier description)	A or B	64
-----\|
Optional Subsequence D1 Securities Collateral Details
M	16R			Start of Block	SCOL	65
M	19B	MRKT	Amount	Market Price Amount	:4!c//3!a15d	66
M	35B			Identification of the Financial Instrument	[ISIN1!e12!c] [4*35x]	67
M	36a	COLL	Quantity of Financial Instrument	Quantity of Securities Collateral	B or D	68
M	92A	SHAI	Rate	Securities Haircut	:4!c//[N]15d	69
O	98A	EXPI	Date/Time	Expiry Date	:4!c//8!n	70
----->
O	94B	4!c	Place	(see qualifier description)	:4!c/[8c]/4!c[/30x]	71
-----\|
O	70C	RATS	Narrative	Rating Narrative	:4!c//4*35x	72
M	16S			End of Block	SCOL	73
End of Subsequence D1 Securities Collateral Details
Optional Subsequence D2 Cash Collateral Details
M	16R			Start of Block	CCOL	74
M	19B	DEPO	Amount	Deposit Amount	:4!c//3!a15d	75
M	22H	DEPO	Indicator	Type of Deposit Indicator	:4!c//4!c	76
O	98A	TERM	Date/Time	Maturity Date	:4!c//8!n	77
M	16S			End of Block	CCOL	78
End of Subsequence D2 Cash Collateral Details
Optional Subsequence D3 Other Collateral Details
M	16R			Start of Block	BCOL	79
M	22H	BCOL	Indicator	Type of Other Collateral Indicator	:4!c//4!c	80
----->
M	98a	4!c	Date/Time	(see qualifier description)	A or B	81
-----\|
M	95a	ISSU	Party	Issuer	P, Q, or R	82
M	19B	4!c	Amount	(see qualifier description)	:4!c//3!a15d	83
M	16S			End of Block	BCOL	84
End of Subsequence D3 Other Collateral Details
M	16S			End of Block	COLD	85
-----\| End of Sequence D Collateral Details
Optional Sequence E Additional Information
M	16R			Start of Block	ADDINFO	86
----->
O	95a	4!c	Party	(see qualifier description)	P, Q, or R	87
-----\|
----->
O	19A	4!c	Amount	(see qualifier description)	:4!c//[N]3!a15d	88
-----\|
M	16S			End of Block	ADDINFO	89
End of Sequence E Additional Information

MT506 Network Validated Rules

C1 If the message is a cancellation, that is, Function of the Message (field 23G) is CANC, then subsequence A2 (Linkages) must be present at least once in the message, and in one and only one occurrence of A2, field :20C::PREV must be present; consequently, in all other occurrences of A2, field :20C::PREV is not allowed.

Sequence A if field :23G: is ...	Then subsequence A2 is ...	And field :20C::PREV is ...
CANC	Mandatory (minimum one occurrence of A2 must be present)	Mandatory in one occurrence of subsequence A2, and not allowed in all other occurrences of subsequence A2
NEWM	Optional	Not applicable

Sequence A

if field :23G: is ...

Then subsequence A2 is ...

And field :20C::PREV is ...

CANC

Mandatory (minimum one occurrence of A2 must be present)

Mandatory in one occurrence of subsequence A2, and not allowed in all other occurrences of subsequence A2

NEWM

Optional

Not applicable

C2 In sequence A, if field :20C::SCTR is not present, then field :20C::RCTR is mandatory, otherwise field :20C::RCTR is optional.

Sequence A
if field :20C::SCTR is ...

Sequence A
then field :20C::RCTR is ...

Not present

Mandatory

Present

Optional
C3 In sequence B, if field :19B::TEXA is not present, then field :19B::TCRL is mandatory, otherwise field :19B::TCRL is optional.

Sequence B
if field :19B::TEXA is ...

Sequence B
then field :19B::TCRL is ...

Not present

Mandatory

Present

Optional

Sequence A if field :20C::SCTR is ...	Sequence A then field :20C::RCTR is ...
Not present	Mandatory
Present	Optional

Sequence B if field :19B::TEXA is ...	Sequence B then field :19B::TCRL is ...
Not present	Mandatory
Present	Optional

C4 In each occurrence of sequence D, the presence of subsequences D1, D2 and D3 depends on the value of field :22H::COLL//<Indicator> as follows:

In each occurrence of sequence D if field :22H::COLL//4!c is ...	In the same occurrence of sequence D then subsequence D1 is ...	In the same occurrence of sequence D and subsequence D2 is ...	In the same occurrence of sequence D and subsequence D3 is ...
BCOL	Not allowed	Not allowed	Mandatory
CCOL	Not allowed	Mandatory	Not allowed
SCOL	Mandatory	Not allowed	Not allowed

In each occurrence of sequence D

if field :22H::COLL//4!c is ...

In the same occurrence of sequence D

then subsequence D1 is ...

In the same occurrence of sequence D

and subsequence D2 is ...

In the same occurrence of sequence D

and subsequence D3 is ...

BCOL

Not allowed

Mandatory

CCOL

Not allowed

Mandatory

Not allowed

SCOL

Mandatory

Not allowed

C5 In each occurrence of subsequence D2, the presence of field :98A::TERM depends on the value of field :22H::DEPO//<Indicator> as follows:

In each occurrence of subsequence D2
if field :22H::DEPO//4!c is ...

In the same occurrence of subsequence D2
then field :98::TERM is ...

FIXT

Mandatory

CLNT

Not allowed
C6 In each occurrence of subsequence D3, if field :22H::BCOL//LCOL is present, then field :98B::EXPI//OPEN (that is, Qualifier = EXPI, Data Source Scheme not present and Date Code = OPEN) is not allowed, otherwise field :98B::EXPI//OPEN is optional.

In each occurrence of subsequence D3
if field :22H::BCOL//LCOL is ...

In the same occurrence of subsequence D3
then field :98B::EXPI//OPEN is ...

Present

Not allowed

Not present

Optional
C7 In each occurrence of subsequence A1, if field :22F::AGRE is not present, then field :70C::AGRE is mandatory, otherwise field :70C::AGRE is optional.

In each occurrence of subsequence A1
if field :22F::AGRE is ...

In the same occurrence of subsequence A1
then field :70C::AGRE is ...

Not present

Mandatory

Present

Optional
C8 In subsequence B1, fields 16R and 16S may not be the only fields present. If both fields 16R and 16S are present, then at least one of the other fields of the same subsequence must be present.
C9 The user header of the message (block 3) is mandatory and must contain a valid code in the Validation Flag field 119 ( {3:{119:xxxx}} ). This code must be identical to the code contained in field :22a::COLA//xxxx (Exposure Type Indicator) in sequence A of the message content (text block 4).
C10 In each occurrence of subsequence D1, the presence of field :70C::RATS depends on the presence of field :94B::RATS as follows:

In each occurrence of subsequence D1
if field :94B::RATS is ...

In the same occurrence of subsequence D1
then field :70C::RATS is ...

Present

Mandatory

Not present

Not allowed
C11 If sequence C is not present, sequence D is mandatory. If one or more occurrence of sequence C is present, sequence D is optional.

If sequence C is...

Then sequence D is...

Not present

Mandatory

Present (once or more)

Optional

In each occurrence of subsequence D2 if field :22H::DEPO//4!c is ...	In the same occurrence of subsequence D2 then field :98::TERM is ...
FIXT	Mandatory
CLNT	Not allowed

In each occurrence of subsequence D3 if field :22H::BCOL//LCOL is ...	In the same occurrence of subsequence D3 then field :98B::EXPI//OPEN is ...
Present	Not allowed
Not present	Optional

In each occurrence of subsequence A1 if field :22F::AGRE is ...	In the same occurrence of subsequence A1 then field :70C::AGRE is ...
Not present	Mandatory
Present	Optional

In each occurrence of subsequence D1 if field :94B::RATS is ...	In the same occurrence of subsequence D1 then field :70C::RATS is ...
Present	Mandatory
Not present	Not allowed

If sequence C is...	Then sequence D is...
Not present	Mandatory
Present (once or more)	Optional

MT506 Usage Rules

The exchange of information related to the trade itself as well as to the settlement of the collateral is done with the existing confirmation and settlement messages of the relevant categories (categories 2, 3, 5, 7, 9).