ZagTrader

Settlement status codes

CVAL: CSD Validation

Written and maintained by ZagTrader. Last reviewed . How this page is sourced and checked

CVAL tells you that the instruction is on hold because it meets the conditions of a restriction rule that the CSD has configured in the settlement platform.

Code
CVAL
Kind
Reason (24B)
Used with
PEND, PENF

What CVAL means

Platforms such as T2S let each CSD define rules that put matching instructions on hold for checking, the CSD validation hold. The rules are built on attributes of the instruction, such as the security, the account or the type of transaction. The CSD then releases or cancels them after its check.

In T2S such an instruction is accepted with the accepted reason OTHR and reported with settlement reason CVAL and the hold indicator CVAL; it can be combined with CSDH, PREA or PRSY (ECB T2S multiple-status reporting).

Under PEND settlement on the date is still possible once released; under PENF the instruction is failing.

When you see it

  • On acceptance of the instruction or after revalidation in the settlement platform.

What to do next

  • Ask your custodian or CSD which rule applied and whether it needs anything from you; the release is done by the CSD.

Where it appears in MT and ISO 20022

MT (ISO 15022)

  • MT548 sequence A2a (REAS), :24B::PEND//CVAL or :24B::PENF//CVAL.
  • MT537 sequence B1 or C3a with the PEND or PENF qualifier.

MX (ISO 20022)

  • sese.024 SttlmSts/Pdg/Rsn/Cd/Cd or SttlmSts/Flng/Rsn/Cd/Cd = CVAL, in T2S with TxDtls/SttlmParams/HldInd/Rsn/Cd/Cd = CVAL.
  • sese.024 PrcgSts/PdgPrcg/Rsn/Cd/Cd = CVAL is also allowed (not in the MT548 PPRC list).