element <haircut> (local)
Namespace:
Type:
xsd:decimal
Content:
simple
Defined:
Content Model Diagram
XML Representation Summary
<haircut>
   
Content: 
{ xsd:decimal }
</haircut>
Included in content model of elements (1):
initialMargin
Annotation
An element defining a haircut expressed as the percentage difference between the Market Value of the collateral and the Purchase Price of the repo and calculated as 100 multiplied by a ratio of the difference between the Market Value of the collateral and the Purchase Price of the repo to the Market Value of the collateral. Haircut is alternative way to adjust the value of collateral sold in a repurchase agreement to initial margin ratio. Because an initial margin is a percentage of the Purchase Price, while a haircut is a percentage of the Market Value of collateral, the arithmetic of initial margins and haircuts is slightly different. For example, an initial margin of 102% is not equivalent to a haircut of 2%, but to 1.961% (ie 100/102%).
XML Source (w/o annotations (1); see within schema source)
<xsd:element name="haircut" type="xsd:decimal"/>

XML schema documentation generated with DocFlex/XML 1.9.0 using DocFlex/XML XSDDoc 2.8.0 template set. All content model diagrams generated by Altova XMLSpy via DocFlex/XML XMLSpy Integration.