9.2.2.1. Transaction Information
A customer trade confirmation must identify the parties and describe the specifics of the transaction.
Regarding the parties, the confirmation must contain:
• Customer name
• Whether the customer is a purchaser or seller
• Dealer name, address, and phone number
• Whether the dealer acted as a principal or agent
For agency transactions, the dealer must specify whether it was an agent for the customer, another entity, or both. It must also indicate the source and amount of any remuneration the dealer will receive from the customer or any other party.
Regarding the transaction itself, the confirmation must identify:
• Trade date and, if available, the time of execution
• Par value of the securities
• Settlement date
• Yield and dollar price
• Total dollar amount of the transaction
• Amount of accrued interest
The yields listed on the trade confirmation will typically be the same as the yield quoted to the customer. No yield calculation is required for the following:
• Variable rate bonds, because the coupon rate is periodically reset, so calculation is not possible
• Bonds in default, because they are no longer paying interest
• Municipal fund securities
• Securities traded on a discounted basis
• Municipal CM