1. Transitioning to eGAINS
WELCOME
eGAINS Participants
Transitioning to eGAINS
Information Sessions

2. Hosts: Futures Industry Association (FIA)
Clearing Corporation (CCorp)
Markit Group
Participants: eGAINS Users (London, New York, Chicago)

3. Presentation Schedule (via WebEx) On-Site Training Schedule – London
3:30 – 4:30 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
User training sessions shall be conducted in London June 9-13
Details regarding time and location to follow

4. 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
3:30 – 4:30 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
Individualized
Testing: Phases 1-3 (CCorp)
Resource Links
Contacts
II. Trade Processing
Examine Exchange Trade Flow, Data Layout and Position Posting and Report Generation
How can I validate my trade data?
Thursday, April 10
Tuesday, April 15
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 Layout–Output Review (CCorp)
Detailed Character Layout
Month-End Cycle (FIA)
Trade Processing (FIA)
Rates
Position Reconciliation
Pay/Collect Reconciliation
Outputs: Reports, T+1 and Month-end (CCorp)
Confirmation / Change Processing
On-line
Data Files and Downloads
III. Banking
Review Month-End Adjustments, Billing Cycle, and Money Flow
How are pay/collects managed?
Thursday, April 17
Tuesday, April 22
Participant Banking Instructions and Maintenance (FIA)
Banking Overview and System Functionality (FIA)
Confirmation of Banking Instructions (mechanics and deadlines)
Changing Banking Instructions
Month-End Processing Deadlines (FIA)
Third Party Billing
Reports (CCorp)
Managing Accruals (FIA)
Systems Testing (CCorp)
Help Desk
IV. Next Iteration
Review Implementation Feedback and Systems Enhancements
What is the next step?
Thursday, May 1
Feedback – A Formal Checkpoint
Testing
Systems
Launch
Review Participant Wish List
Procedure for adding (new) FX Settlements (FIA)
Other Exchange Participants (FIA)
Reducing the Credit Window (FIA)

5. Housekeeping – Addendum to Initial Presentation (April 10)
Within your firm, please appoint an eGAINS Training Contact and forward the details (firm name, training contact name, telephone number, address) to David Adam )
In EGUS, Admin, Search Institution and Parties, Maintain Parties: Populate Exchange / Firm Code

10. Session 2. Trade Processing: Exchange Trade Flow, Data Layout, Position Posting and Report Generation
Purpose
Review Exchange (Eurex, ICE, Liffe) transmission of give-up trade data to eGAINS.
Fundamental Issue/Question
How can I validate my trade data? 

11. Session 2. Trade Processing: Trade Posting and Validation
Agenda
 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 Layout – Output Review (CCorp)
Detailed Character Layout

12. Session 2. Trade Processing: Trade Posting and Validation
Agenda Continued
Month-End Cycle (FIA)
Trade Processing (FIA)
Rates
Position reconciliation
Pay/Collect reconciliation
Outputs: Reports, T+1 and Month-end (CCorp)
Confirmation / Change Processing
On-line
Data Files and downloads
Resource Links
Contacts

13. Exchange Trade Flow and System Requirements (FIA) Continued
Overview: How does eGAINS work?
Given a completed give-up agreement and rate schedule in EGUS, the eGAINS system shall:
Obtain give-up agreement and rate from EGUS (daily download from EGUS to eGAINS).
Receive the end-of-day give-up transaction file from the participating exchange(s).
Look up the execution agreement, account, rate, and calculate the give-up transaction fees.
Provide the participants T+1 reports and end-of-month preliminary and final reports.
Allow participants to review trade details, modify transactions, resolve discrepancies, and confirm or reject trade changes.
Complete the billing cycle, eGAINS automatically debits and credits the clearing and execution participants respectively.

14. Exchange Trade Flow and System Requirements (FIA) Continued
At launch, eGAINS will support cleared futures and options give-up transactions executed on Eurex, ICE, and Liffe. Exchange product codes contained on the trade records are passed-thru to the eGAINS users. In the event of differences between commodity codes/ticker symbols/product designations, eGAINS defers to the Exchange code supplied on the trade record. eGAINS will support eleven currency types (at launch). These include: CHF, EUR, GBP, ISK, JPY, NOK, PLN, SEK, TRY, USD, and ZAR.
With respect to banking, FIA Tech is working with a global financial institution to process month-end settlements (i.e., transmit and receive give-up payments). Settlement accounts at the financial institution reside in London for non-USD payments and New York for USD payments.
eGAINS recognizes the following participant types: Executing Firm, Clearing Firm, and Third-Party. Since participating Exchanges agree to transmit give-up trade data only to the degree that the counterparties are eGAINS participants, please meet with your counterparties regarding eGAINS participation. Permission agreements, authorizing the Exchange to forward give-up trade data to eGAINS, must be completed in advance of eGAINS participation and filed with FIA Tech.

15. Exchange Trade Flow and System Requirements (FIA) Continued
eGAINS Participant ID provides user access to view or update the trade records. eGAINS Participant IDs are based on exchange clearing relationships and the maximum number of IDs is contingent on the number of firm mnemonics at the exchange. For instance, if an institution has two clearing firm affiliates at a respective exchange, eGAINS may crate two user IDs. Even though eGAINS can create distinct IDs per relationship , it is not necessary to create an ID per relationship since the institution may want to group all trade activity under one ID - see below illustrations. Complete the eGAINS Participant – User Set-Up Information form to establish a firm profile. Contact FIA Tech with set-up questions.

16. Exchange Trade Flow and System Requirements (CCorp) Continued

17. Exchange Trade Flow and System Requirements (CCorp) Continued

18. Exchange Trade Flow and System Requirements (CCorp) Continued
Trade Mapping
CCorp worked closely (and continues to interface) with the Exchanges’ IT teams to receive test trade files, unpack the trade data and create templates for eGAINS data integration. Record layouts and field parameters have been defined and daily transmission of Exchange production data is scheduled for mid-May. Following May’s receipt of production data, CCorp shall distribute a detailed, full-scale testing schedule (Phases 1-3).
Exchange Codes
Eurex: XEUR
ICE: ICE
Liffe: LIFFE
Exchange codes, received by the participating Exchanges, are synched to related EGUS designations and populated into eGAINS.
Product Codes
The Exchanges use unique identifiers or strings of data to differentiate exchange, product, and class. This allows for standardization across trading systems, among service providers and with member firms. Communication therefore, with respect to product, is standardized and consistent.

19. Exchange Trade Flow and System Requirements (CCorp) Continued
Liffe, for instance, constructs product codes by combining a description of exchange, derivative or product type, and contract name. For example:
Currency Derivatives Product Code Designation: LFED and LOED 
L= Market code for London Financial Exchange
F = Product type for futures (or O for Options product type)
ED = Product code for Eurodollar (i.e. the underlying asset the derivative is based on)
Conversely EGUS/eGAINS does not display product codes but rather product groups and their codes. CCorp is working with the Exchanges and Markit to synch codes where required.

20. Exchange Trade Flow and System Requirements (CCorp) Continued
Platform
Multiple trading venues or platforms (i.e. Liffe’s BClear and Connect) contain identifiers on the Exchange’s trade records that are passed-thru to eGAINS. Therefore, for the sake of differentiating like products traded through different venues, eGAINS recognizes one exchange (as opposed to separating platforms into exchanges) with multiple platforms (characterizing BClear as a separate platform not exchange).
Transaction (Trans) Source Codes
Method of execution, or transaction source (client or desk), is defined in EGUS. With respect to populating rates into EGUS as well as retaining the rates in the firm’s back-office, the specific cost of execution is known. That said however, it is not certain if the Exchanges are able to capture and pass-thru to eGAINS a method of execution indicator. Firms developed creative work-arounds (current practice) to distinguish method of execution (adding a character to the account number, i.e., tilde “~”) so as to reconcile exchange data to their books. Although functional, the work-around solution is not systematically practical for all participants.
CCorp is working closely with the Exchanges to create a similar logic stream so as to capture the

21. Exchange Trade Flow and System Requirements (CCorp) Continued
transaction source code on the trade record thereby foregoing the firms’ work-around. Upon completion, firms will need to identify the method of execution on the trade.
Deadlines (Agreement Changes and Maintenance)
At the end of the trade day, Exchanges transmit the daily give-up trade files to eGAINS. Agreement and rate changes effectuated in EGUS are expected to be applied same day to the eGAINS daily give-up trades received from the Exchanges.
CCorp is negotiating the cut-off time (i.e. 4 hours prior to start of the batch cycle; 4:00 p.m. given an 8:00 p.m. batch) for effectuating a same-day change to an EGUS agreement or rate. Further, work in process relative to establishing a schedule for updating the system intra-day (i.e. populate updates hourly).

22. Record Layout – Output Review (CCorp)
Detailed Character Layout
Agreement Details EGUS eGAINS
EGUS Agreement ID
Group ID
New or Change New
Production or Test Prod
Customer Reference John Q. Customer John Q. Customer
Agreement Type Standard
Creation Date 4/01/2008
Approval Date 4/01/ /01/2008
Update Date 4/01/2008
Effective Date 4/01/ /01/2008
Bill Who Clearing Broker Bill Carry Participant
Profit Center

23. Record Layout – Output Review (CCorp) Continued
Detailed Character Layout
Parties EGUS eGAINS
Party Code
Name ABC Securities
Type Clearing Broker Carry Participant
Exch Firm Code ABC LIFFE ABC
Accounts
Clearing Accounts L2400 L2400
Description London AG
Effective Date 4/01/2008
Executing Accounts

24. Record Layout – Output Review (CCorp) Continued
Detailed Character Layout
Tiers EGUS eGAINS
Fut/Opt/Both Fut/Opt/Both Fut/Opt/Both
Client Electronic contingent on exchange
Client Voice and/or
Desk Electronic firm
Desk Voice pass-thru trade indicator
Product
Code / Group ED ED
Trade Type all all
Spread Y/N Y Y
Rate Currency USD USD

25. Month-End Cycle Management (FIA)
Month-end processing deadlines include:
Business Day Activity/Deadline
1st Bus. Day Complete prior month trade processing
7th Bus. Day (8 p.m., EST) Deadline for executing firm to correct/adjust trades
15th Bus. Day (8 p.m., EST) Deadline for clearing firm to re-accept or reject trades
16th Bus. Day FIA Tech enters debits into banking system
17th Bus. Day Clearing firms’ accounts are debited; credit float begins
Last Bus. Day Deadline for firms to submit bank changes (names, locations, accounts)
60 Bus. Day from debit End of float period (variable)

26. Trade Processing (FIA)
Prior to launch, a detailed comprehensive review or parallel test will be conducted with production data. The test, conducted in three phases, will focus on rates, trades, and monies. Participants shall be advised of timing details and test scripts/scenarios when the schedule is finalized; ETA end of May.
Rates
 Q. How will rates I enter in EGUS appear in eGAINS?
 A. On a nightly basis, eGAINS retrieves all agreement and rate information from EGUS. The rates and trade details are viewable online as it applies to executed give-up trades (Illustration 1 is a typical report capturing daily give-up trades for executing participants).

27. Trade Processing (FIA) Continued
Illustration 1: GNS00001, Daily Report for Executing Participant
GNS CLEARING CORPORATION MM/DD/YY
GIVE UP AUTOMATED INVOICING SYSTEM (GAINS) HH24:MI:SS
TRADE DETAIL DAILY REPORT FOR EXECUTING PARTICIPANTS PAGE: No.
EXECUTING PARTICIPANT: XXXXX - XXXXXXXXXXXXXXXXXX
P O B S
TRADE EX CA CNTRCT STRIKE / / ORDER TRADE TR TR AGRMNT / G-U RATE G-U FEE T
DATE EX EX COM MON YR PRICE C C NUMBER PRICE SR TY NUMBER CUR QTY S A
CARRY PARTICIPANT ID: XXXXXX CARRY ACCOUNT: XXXXX CARRY DISPLAY ACCOUNT: XXXXXX EX ACCT: XXXXXX
MM/DD XX XX XXX XX XX XXXXX X X XXXXXXXXXXX XXXXXX XX XX XXXXXXXXXXX XXX XXX X XXXXXX.XXX XXXXXX.XX X
SUB TOTAL : XXXX XXXXXXX.XX
CARRY PARTICIPANT ID: XXXXXX CARRY ACCOUNT: XXXXX CARRY DISPLAY ACCOUNT: XXXXX EX ACCT: XXXXXX

28. Trade Processing (FIA) Continued
Q. How does e-GAINS match rates on my trades?
Exchange trade data contains counterparty, account numbers, and commodity codes which are cross-referenced against eGAINS account and rate information (uploaded daily from EGUS and/or input direct into eGAINS by the user). In the event a match is not found, users will receive an exception report indicating "no match" or unlinked trade.
Q. Can you override a rate for a specific trade? For instance, on a one-off basis, I may choose to reduce my execution fee due to the size of the transaction.
 A. No. Rates cannot be overridden however the total give-up fee or charge for the transaction may be modified. The change, initiated by the executing firm, shall appear on the daily and monthly give-up reports.

29. Trade Processing (FIA) Continued
Q. Will I be able to identify which rates originated from EGUS agreements vs. which originated from non-EGUS agreements?
 A. Yes. There is an indicator in the Rate Offload File for firms to identify EGUS rates from non-EGUS rates.
Q. What happens if I add or change an agreement in eGAINS that already exists in EGUS?
A. When the next EGUS agreement extract runs, the agreements/rates will be replaced with the corresponding EGUS agreement. The rate changes, added direct to eGAINS, will be lost. The best solution for managing rates is to modify EGUS.

30. Trade Processing (FIA) Continued
Position Reconciliation
Position match-off between the participant’s internal ledger (books) to eGAINS is the responsibility of the participant. eGAINS provides no position or rate reconciliation tool to facilitate an automated comparison. That said, firms are encouraged to manage eGAINS position details daily. In the event you seek to build an internal reconciliation tool, CCorp has defined the necessary record layouts and character parameters. Similarly, services are available for outsourcing the program and database construction (i.e. VVA Systems).
eGAINS trades are stored online for 45 days coinciding with the end of the monthly banking cycle. Markit however shall retain the historical files for recall.

31. Trade Processing (FIA) Continued
Pay/Collect Reconciliation
Pay/collect match-off between the participant’s internal ledger (books) to eGAINS is the responsibility of the participant. eGAINS provides no position or rate reconciliation tool to facilitate an automated comparison.
Q. Does FIA Tech manage eGAINS pays and collects?
A. Yes with respect to providing monthly pay/collect instructions to the banking correspondent. No, with respect to funds movement. The global financial institution processes the funds transfer(s) as instructed by FIA Tech.

32. Trade Processing (FIA) Continued
Q. As an executing and clearing participant, will eGAINS net my pays and collects?
A. No. All payments are gross and viewed as unique and distinct transactions. Further, even though rates within the give-up agreement may be denominated in the same currency at multiple exchanges, clearing participants are debited on the 17th business day and executing participants are credited on the 60th business day following the clearing firm debit. Hence the timing of pay/collects preclude netting.

33. Output: Reports (CCorp)
All end of trade day reports (available T+1) as well as month-end, reports shall be available for online viewing and downloading (ASCII text files). Reports are patterned after GAINS - therefore users, familiar with the former GAINS report (i.e. GNS00001) content and layout, ought be familiar with eGAINS report content and layout.
Confirmation / Change Processing
In keeping with the monthly eGAINS Payment Schedule, trade record changes (the responsibility of the executing firm) must be complete by the 7th business day. The carry firm (carry firms have reject authority and rejects are typically done due to rate, account, adjustment, trade and/or payment discrepancy) must act on the change request by the 15th business day. It is in the carrying firms best interest to monitor trade status changes (especially as the 7th business day approaches). Changes are reflected in the preliminary monthly data files.

34. Output: Reports (CCorp) Continued
On-line
eGAINS provides an interface to query and obtain trade status (reflects daily and month-to-date detail of trade activity).

35. Output: Reports (CCorp) Continued
Data Files and Downloads
Users are provided eGAINS detail and summary reports recapping month-to-date executing and carrying firm give-up trades as well as month-end banking pay/collect details. eGAINS output and data files mirror GAINS. The following illustrations provide examples of give-up reports:
GNS00002: Trade Detail – Daily Report for Carry Participants
GNS00003: Trade Detail – End of Month Report for Executing Participants

36. Output: Reports (CCorp) Continued
GNS CLEARING CORPORATION MM/DD/YY
GIVE UP AUTOMATED INVOICING SYSTEM (GAINS) HH24:MI:SS
TRADE DETAIL FOR THE DAILY REPORT FOR CARRY PARTICIPANTS PAGE: No.
CARRY PARTICIPANT: XXXXX - XXXXXXXXXXXXXXXXXX
P O B S
TRADE EX CA CNTRCT STRIKE / / ORDER TRADE TR TR AGRMNT / G-U RATE G-U FEE T
DATE EX EX COM MON YR PRICE C C NUMBER PRICE SR TY NUMBER CUR QTY S A
EXECUTING PARTICIPANT ID: XXXXXX EX. ACCOUNT: XXXXX CARRY DISPLAY ACCOUNT: XXXXXX CARRY ACCT: XXXXXX
MM/DD XX XX XXX XX XX XXXXX X X XXXXXXXXXXX XXXXXX XX XX XXXXXXXXXXX XXX XXX X XXXXXX.XXX XXXXXX.XX X
SUB TOTAL : XXXX XXXXXXX.XX
TOTAL FOR EXECUTING PARTICIPANT : XXXXXX
TOTAL REVENUE : XXX
LESS REJECTED TRADES : XXX
NET REVENUE : XXX
COMBINED TOTAL REVENUE : XXX
COMBINED TOTAL NET REVENUE : XXX

37. Output: Reports (CCorp) Continued
GNS CLEARING CORPORATION MM/DD/YY
GIVE UP AUTOMATED INVOICING SYSTEM (GAINS) HH24:MI:SS
TRADE DETAIL END OF MONTH REPORT FOR EXECUTING PARTICIPANTS PAGE: No.
EXECUTING PARTICIPANT: XXXXX - XXXXXXXXXXXXXXXXXX
P O B S
TRADE EX CA CNTRCT STRIKE / / ORDER TRADE TR TR AGRMNT / G-U RATE G-U FEE T
DATE EX EX COM MON YR PRICE C C NUMBER PRICE SR TY NUMBER CUR QTY S A
CARRY PARTICIPANT ID: XXXXXX CARRY ACCOUNT: XXXXX CARRY DISPLAY ACCOUNT: XXXXXX EX ACCT: XXXXXX
MM/DD XX XX XXX XX XX XXXXX X X XXXXXXXXXXX XXXXXX XX XX XXXXXXXXXXX XXX XXX X XXXXXX.XXX XXXXXX.XX X
SUB TOTAL : XXXX XXXXXXX.XX
TOTALS FOR CARRY PARTICIPANT : XXXXXX
TOTAL REVENUE : XXX XXXX XXXXXXX.XX
LESS REJECTED TRADES : XXX XXXX XXXXXXX.XX
NET REVENUE : XXX XXXX XXXXXXX.XX
COMBINED TOTAL REVENUE : XXX XXXX XXXXXXX.XX
LESS REJECTED TRADES : XXX XXXX XXXXXXX.XX
COMBINED TOTAL NET REVENUE : XXX XXXX XXXXXXX.XX

38. Resource Links
Information, agreements, links and resources will be distributed when complete. These include:
Legal Agreement links
Timelines
Frequently Asked Questions (FAQs)
Learning Environment link
Spreadsheet for test trade submissions
Data Layout Specifications
Phase 1-3 Test Plans
Report Types and Detail (45 Total)

39. Contacts
FIA Tech
Robert Drew, Consultant, ,
David Adam, Consultant, ,
Ron Metcoff, Treasury Consultant, ,
Krystal Atha, Relations Manager, ,
David Wilson, Technology Project Manager, ,
Mary Ann Burns, Executive Vice President Industry Relations, ,
CCorp
Marc MacQuarrie, Client Services and Support, ,
James Woods, Vice President, Production Management Group, ,
Markit
Tony Murljacic, Director, Head of Trade Processing Connectivity, ,

40. Thank You for Attending