Okla. Admin. Code § 735:10-1-11

Current through Vol. 42, No. 4, November 1, 2024

Section 735:10-1-11 - Collateral calls

(a) OST will determine the fair market value of the collateral securities pledged to secure state funds on deposit not less than quarterly. For securities on which OST cannot obtain a market value from providers of market information, OST may use the market value assigned to that security by the safekeeping bank with custody of the security. In this event, the safekeeping bank must agree to timely provide this market information at intervals acceptable to OST. If no market value can be obtained through any of these methods, OST may locate a comparable security with similar attributes in terms of the type of issuer, source of debt service, maturity and for which OST has determined a fair market value. OST shall assign a value to the security of 75% of the fair market value of the comparable security. If, after determining the value of the pledged collateral securities, the amount is less than the required amounts established in 735:10-1-3, OST will impose a collateral call.

(b) OST may impose collateral calls at any time, and reserves the right to require compliance to collateral calls immediately. If compliance to collateral calls cannot be met, then the OST reserves the right to reduce the amount of the outstanding balances at the financial institution without penalty to the State.

Added at 13 Ok Reg 1583, eff 4-2-96 (emergency); Added at 13 Ok Reg 3341, eff 7-25-96; Amended at 15 Ok Reg 2479, eff 4-29-98 (emergency); Amended at 15 Ok Reg 2865, eff 6-25-98; Amended at 16 Ok Reg 1262, eff 5-13-99