The undiversified credit adder for net counterflow Financial Transmission Rights (FTR) portfolios was designed in 2008 in response to defaults of counterflow portfolios an area that experienced congestion over an extended period. The undiversified adder requires cleared prices to be calculated, which means the adder cannot be computed until initial clearing of the FTR market. If a portfolio requires an undiversified adder and the participant has insufficient credit allocated to the FTR market, a one day collateral call is issued. If the participant does not meet the collateral call their bids are removed and the auction is rerun. This may cause delays in clearing and creates uncertainty for participants on how much cleared FTR credit will be required. PJM is analyzing replacements to the undiversified portfolio adder.