The positions that are assigned to a hedging relationship (as hedged items or as a hedging instrument) in Hedge Accounting for Positions (P-HA) are managed in subpositions in position management, whereby a distinction is made between the free-standing subpositions and the designated subpositions.

A free-standing subposition is generated for the positions by assigning a hedged item and a hedging instrument to a hedging relationship.

If designation then occurs later on, the free-standing subpositions are reduced by the designated part and a subposition is generated for the designated part.

You can see whether and which subpositions can exist for positions in the position list (transaction TPM12). This contains a Subpositions column in which each position that has one or more subpositions has an icon. You can choose the icon to display the subpositions. In the Free column of this list, you can see whether the respective subposition is a free-standing or a designated subposition.

The position components are managed for a subposition, and they are also adjusted here using the derived business transactions.