Account-level reciprocation

The Account-Level Reciprocation feature provides visibility into, and control of, how your institution's reciprocal balances are attributed across individual Insured Sweep Accounts. This supports more granular reporting of network activity to support account- and branch-level attribution of network outcomes and certain compliance obligations.

With account-level reciprocation, you can view which accounts are reciprocated and can prioritize specific accounts to take precedence for reciprocal attribution. Each day, the total your institution receives from the network is attributed to accounts in order: prioritized accounts first, then all other accounts, each from lowest balance to highest. Each account is reciprocated up to its full balance until the total received is used up.

Data fields

Sweep ProgramAccounts

Three fields are available in the Admin Portal in the Accounts table in the Sweep Program:

• Prioritize Reciprocation: Binary field set by bank admins, this checkbox indicates whether an account should be prioritized for reciprocal attribution.
• Reciprocated Amount: The portion of an Insured Sweep Account’s balance that is considered reciprocated. This is calculated by the system based on your prioritization inputs and is updated following daily allocation.
• Reciprocation Status: The account’s reciprocal attribution as either Full, Partial, or None.

Using the Prioritize Reciprocation functionality

Sweep ProgramAccountsEdit (pencil icon)Prioritize ReciprocationSubmit

The Prioritize Reciprocation field can be managed through the Edit Account functionality.

Illustrative example

For example, if ABC Bank opens and funds two accounts in the program, the following will occur based on the Bank’s administrative actions:

1. Day 1Dynamic Target Balance set to Reciprocate Exactly, ABC Bank receives $3M from the network

   Account Title	Balance	Prioritize Reciprocation	Reciprocated Amount	Reciprocation Status
   Account 1	$2,000,000	Not prioritized	$2,000,000	Full
   Account 2	$1,000,000	Not prioritized	$1,000,000	Full

   Regardless of prioritization, both accounts are shown as fully reciprocated because the institution receives its full swept balance.

2. Day 2Static Target Balance set to $1.8M, ABC Bank returns $1.2M to the network

   Account Title	Balance	Prioritize Reciprocation	Reciprocated Amount	Reciprocation Status
   Account 1	$2,000,000	Not prioritized	$800,000	Partial
   Account 2	$1,000,000	Not prioritized	$1,000,000	Full

   With neither account prioritized for reciprocation, the system attributes received funds to the lowest-balance accounts first.

3. Day 3Prioritize Reciprocation enabled for Account 1, no funds movement occurs

   Account Title	Balance	Prioritize Reciprocation	Reciprocated Amount	Reciprocation Status
   Account 1	$2,000,000	Prioritized	$1,800,000	Partial
   Account 2	$1,000,000	Not prioritized	$0	None

   By prioritizing Account 1, all reciprocal balances are categorized against it. Because total received balances are below the account's swept balance, it remains partially reciprocated.