Function

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Create

For more information, see:

·        Swaps

·        Forward Rate Agreements (FRAs)

·        Caps / Floors

·        For more detailed information on the  pushbuttons, see Condition Details.

Change

...

       1.      Choose Change.

       2.      Enter the Company code and the Transaction.

       3.      The screen for changing the transaction structure appears.

       4.      Make any necessary changes and save the OTC interest rate instrument.

·         You can now overwrite the active entry fields or enter data in the empty fields.

·         You can use the tab pages to branch to the general transaction management screens and make any necessary changes.

·        You can use this function to change an activity, provided that it is not relevant for posting. The last activity in the activity chain is relevant for posting. When you save an activity that is relevant for posting, the transaction is fixed (the flows become actual records in the Treasury subledger) and the flows are Flagged for posting.

Display

...

       1.       Choose Display.

       2.      Enter the Company code and the Transaction.

       3.      The screen for displaying the transaction structure appears.

·        The entry fields are not active.

·        You can use the tab pages to navigate between the various screens and display the other transaction data.

·        By choosing , you can display the master data for the business partner. Using the tabs, you can navigate to other screens to display information relating to the transaction.

Give notice

1.       Choose Give Notice.

2.       The Give Notice on OTC Interest Rate Instrument: Initial Screen appears.

·        You can give notice on Swaps and Caps/Floors for a future date. Outstanding (fixed or variable) interest payments are still made up to this date.

·        Interest rate adjustment dates that lie before the notice date but after the contract conclusion date do not change. The final payment due upon maturity is not made. The nominal amounts must be cleared manually.

·        You can only give notice on FRAs before the interest rate adjustment date. In this case, giving notice terminates the contract within the lead period (unscheduled termination), and results in a settlement payment.

·        You can enter a Settlement payment in the Other flows tab when you give notice.

Reverse

For information on reversing OTC options, see Reversal.

Display history

1.       Choose History.

2.       The system lists the activities that are active, reversed or have been replaced by a follow-up activity. From this list, you can branch to the display for the individual activities. You also see their status and the user who processed them.

·         The history function allows you to trace the activity sequence so far for the transaction you have selected.

Settle

...

       1.      Choose Settle.

       2.      The Settle (Contract, Exercise, Notice, Expiration) screen appears.

       3.      Choose the area from the menu for which you want to enter or change the settlement data.

       4.      When you save a settlement activity, the system changes the activity category of the transaction to record how it is monitored and processed in the back office area.

       5.      The contract can only be posted after it has been settled.

·        Using the Settle OTC interest rate instrument you can flag the transaction to document that it has been processed in the back office.

·        At this stage, you check the financial transaction and add any missing data. When you save the transaction, the system fixes the transaction (actual records) and flags the transaction flows for posting.

·        For more information, see Settlement.