Reservations (SAP Library - Credit Risk Analyzer)

Reservations

Use

The reservation function enables you to reserve a free limit for a certain period. The attributable amounts can either be calculated by using basic key figures, or entered with the reservation.

You can store a note by choosing This graphic is explained in the accompanying text Edit Note. For more information about notes see notes for reservations.

Prerequisites

There is an authorization object especially for the maintenance of reservations: F_T_VTBLR.

Integration

Reservations are taken into account both during the single transaction check and in end-of-day processing.

Note

To simplify the creation of reservations, in Customizing you can store default values (in particular the default risk rule) for reservations. In Customizing choose ® Limit Management ® Enter Basic Settings for Limit Management.

Note

If you are using 24-hour capability, you can still use the reservation function whilst end-of-day processing is running, or during a single transaction check.

Activities

Creating Reservations

Choose ...® Master Date ® Reservations ® Create.

When you create a reservation, you have to choose between entering the attributable amount directly or letting the system calculate it using the basic key figures.

Entering Attributable Amounts Directly

Reservation ID	The number is assigned automatically
Name	Free text
Search term	Free text
Reservation Data
Effective from	Today's date
Valid to	Expiry date of the reservation.
Limit Characteristics	The reservation is applied to all limits that correspond to the characteristic values entered here, and to the determination procedures.
Administrative Data
Deletion Flag	If you set this indicator, the reservation will be ignored the next time utilizations are generated, and it will not be taken into account in the current day balance (status 2).
Attributable Amounts
Determination Procedure	The determination procedure defines which limit types are affected by a utilization.
Validity Date of Utilization	This field is filled only for determination procedures that take account of settlement risks. Leave the field blank for credit risks, as the most recent determination date is used as the default value.
Reservation Amount	Attributable amount of the reservation
Reservation Currency	Currency of the reservation amount

Choose This graphic is explained in the accompanying text Save to save your entries. Before you save, you can choose Check to check the reservation against the relevant limit.

Using Basic Key Figures to Calculate Attributable Amounts

Reservation ID	The number is assigned automatically
Name	Free text
Search term	Free text
Reservation Data
Counterparty risk active (CP Risk Active) or Country Risk Active	By setting the CP Risk Active or Country Risk Active indicators, you define whether the transaction is relevant for counterparty/issuer risk or country risk. (The country risk functions are available in Banking only.)
Default Risk Rule	Default value for the default risk rule. This can be overwritten.
Validity Period	· Effective from: Today’s date · Valid to: Expiry date of the reservation.
Date Fields	· Start of Original Term: Enables the reservation to be applied to the correct maturity band, and is based on the underlying transaction. · End of Original Term: Enables the system to derive the remaining term and the original term. Is based on the underlying transaction, and ensures that the reservation is applied to the correct maturity band. · Date for Market Value Change Period: The market value change period is the time period applied in the valuation of trading transactions to calculate the potential change in the market value of the transaction. The market value change period is the difference between the base date and the valuation key date.
Limit Characteristics	The reservation is applied to all limits that correspond to the characteristic values entered here, and to the derived determination procedures.
Basic key figures	Using your entries (default risk rule, limit characteristics) the limit system checks which basic key figures are needed to calculate the various attributable amounts. These entries are required entries.
Country risk information	If you set the country risk indicator, you need to make some settings in the Country Risk Information area.
Generated characteristics	You can edit the values for the generated characteristics here.
Administrative data
Deletion flag	If you set this indicator, the reservation will be ignored the next time utilizations are generated, and it will not be taken into account in the current day balance (status 2).
Attributable amounts	The system automatically fills the fields for the attributable amounts.
Determination procedure	The determination procedure defines which limit types are affected by a utilization.
Validity date of utilization	This field is filled only for determination procedures that take account of settlement risks. The field remains blank for credit risks, as the most recent determination date is used as the default value.
Reservation amount	Attributable amount of the reservation
Reservation currency	Currency of the reservation amount

Choose This graphic is explained in the accompanying text Save to save your entries. Before you save, you can choose Check to check the reservation against the relevant limit.

Changing Reservations

...

1. Choose ... ® Master Date ® Reservations ® Change.

2. Enter the reservation ID and choose This graphic is explained in the accompanying text Enter.

3. Overwrite the existing entries, and then choose This graphic is explained in the accompanying text Save to save your changes.

Note

You need to set the deletion flag so that the reservation is ignored the next time the system generates the utilizations. To do this, set the flag in the Administrative data area. If the flag is set, you can delete the reservation in Customizing by choosing... ® Limit Management ® Reorganization ®Delete Reservations.

Displaying Reservations

...

1. Choose ... ® Master Data ® Reservations ® Display.

2. Enter the reservation ID and choose This graphic is explained in the accompanying text Enter.

3. You can display the existing entries.

Collective Processing

To ensure efficient processing of more than one limit, you can use collective processing for the functions described above. Choose ...® Master Data ® Reservations ® Collective Processing.

Once you have created/changed/displayed the reservations as required, you can use the following additional functions:

· Copy reservations by choosing This graphic is explained in the accompanying text Copy.

· Extend reservations using This graphic is explained in the accompanying text Extend.

· Enter notes using This graphic is explained in the accompanying text Notes.

Change Documents

The system keeps a record, in the form of a change document, of all changes made to reservations.

You can view change documents either for each reservation ID in display/change mode, or by using a report:

· In change/display mode: Reservations ® Change Documents.

· Report: Information System ® Reporting ® Reservations ® Display Changes. In this report, you can select your reservations by the reservation ID (range), the date on which the last change was made, and the user who last changed the reservation. You display the reservations by choosing This graphic is explained in the accompanying text Execute.