Contents

1. Preface

  • 1.1 Introduction
  • 1.2 Audience
  • 1.3 Documentation Accessibility
  • 1.4 Organization
  • 1.5 Related Documents
  • 1.6 Glossary of Icons

    • 2. Securities Domain

  • 2.1 Overview of Securities Domain
  • 2.1.1 Financial Markets
  • 2.1.2 Characteristic Features of the Financial Markets
  • 2.1.3 Financial Intermediaries
  • 2.1.4 Intermediaries Operating in Financial Markets
  • 2.1.5 Financial Assets (Securities)
  • 2.1.6 Equities
  • 2.1.7 Preference Shares
  • 2.1.8 Fixed Income Securities
  • 2.1.9 Rights and Warrants
  • 2.1.10 Trading in Equities
  • 2.1.11 Trading in Bonds / Fixed Income securities
  • 2.1.12 Corporate Actions on Securities

    • 3. Securities - an Overview

  • 3.1 Introduction
  • 3.2 A Snapshot of the Module
  • 3.3 Processing at the Portfolio Level - at the Beginning or End of Day
  • 3.4 Getting Started with the Module
  • 3.4.1 Building Classes
  • 3.4.2 Defining Products
  • 3.4.3 Handling Interest, Charge and Tax Components
  • 3.4.4 Building a Transaction Tax Scheme
  • 3.4.5 Building an Issuer Tax Scheme
  • 3.4.6 Handling Brokerage
  • 3.4.7 Tracking Limits
  • 3.4.8 Settling Deals
  • 3.4.9 Querying the System for Details

    • 4. General Maintenance

  • 4.1 Introduction
  • 4.2 Bank Parameters
  • 4.2.1 Maintaining Bank Parameters
  • 4.2.2 Maintaining Deal Products
  • 4.2.3 Maintaining Nominal Based Yield Computation
  • 4.3 Branch Parameters
  • 4.3.1 Defining Branch Parameters
  • 4.3.2 Specifying the Batch Processing Parameter
  • 4.3.3 Specifying Revaluation Level
  • 4.3.4 Specifying whether Coupon Dates can Move across Months
  • 4.3.5 Specifying whether Accounting Value Date can Move across Months
  • 4.3.6 Specifying Interest Accrual level
  • 4.4 Floating Rate Codes
  • 4.4.1 Defining Floating Rate Codes
  • 4.4.2 Defining Rate Sources
  • 4.4.3 Defining Rate Type
  • 4.4.4 Defining Floating Rates
  • 4.5 Market Details
  • 4.5.1 Maintaining Market Details
  • 4.5.2 Specifying ‘Main’ details
  • 4.5.3 EIM for Treasury Bills and Security Bonds
  • 4.5.4 Specifying Interest Details
  • 4.6 Computing Coupon Interest
  • 4.6.1 Interest Method for Computing Coupon Interest
  • 4.6.2 Exempting Interest for the Ex Period
  • 4.6.3 Specifying Spot Date
  • 4.6.4 Specifying Ex date
  • 4.7 Tax Details
  • 4.7.1 Specifying Tax Details
  • 4.7.2 Associating Scheme with Issuer Tax
  • 4.7.3 Indicating Stop Association

    • 5. Maintaining Price Details

  • 5.1 Introduction
  • 5.1.1 Price Quotation Method

    • 6. Maintaining Market Price Codes

  • 6.1 Introduction

    • 7. Maintaining Safe Keeping Locations

  • 7.1 Introduction
  • 7.2 Exposure Line
  • 7.2.1 Track Exposure Line
  • 7.2.2 Specifying SK Location Account
  • 7.2.3 Making Query
  • 7.3 KEST
  • 7.3.1 Computation of KEST
  • 7.3.2 Defining KESTYTPE as a User Defined Field
  • 7.3.3 Calculation of KEST for ‘Customer Sell’ Type of Transactions
  • 7.3.4 Calculation of KEST for Customer Buy Type of Transactions
  • 7.3.5 Specifying KEST Type for a Customer
  • 7.3.6 Specifying KEST Rates in the Securities Price Definition Maintenance Screen
  • 7.4 Specifying Generation of New SWIFT Messages

    • 8. Building Branch & Currency Restriction Classes

  • 8.1 Restrictions as Classes
  • 8.1.1 Maintaining Restrictions as Classes
  • 8.1.2 The Advantage of Defining Restrictions as Classes
  • 8.2 The Branch and Currency Restrictions Class Screen
  • 8.2.1 Maintaining Branch Restrictions
  • 8.2.2 Maintaining Currency Restrictions
  • 8.3 Specifying the Customer Category Restrictions Class
  • 8.3.1 The Customer Category Restrictions Class screen

    • 9. The Accounting Role to Head Mapping Class

  • 9.1 Introduction
  • 9.2 General Ledger Types
  • 9.3 The Accounting Roles and Heads Class
  • 9.3.1 The advantage of Building Accounting Roles and Heads Classes
  • 9.3.2 Maintaining an Accounting Roles and Heads Class
  • 9.3.3 Mapping Roles to Heads
  • 9.4 The Event Class
  • 9.4.1 Maintaining an Event Accounting Entries and Advices Class
  • 9.4.2 Specifying the Advices to be Generated

    • 10. Defining Security Preference Classes

  • 10.1 Introduction
  • 10.2 Security Product Preference Classes
  • 10.2.1 Specifying Security Product Preference Classes
  • 10.2.2 The Market of Issue
  • 10.2.3 Defining Interest Details for a Bond
  • 10.2.4 Capturing Information Specific to a Security Type
  • 10.2.5 Indicating Banker’s Acceptance
  • 10.2.6 Capturing Trade-Related Information
  • 10.2.7 Identifying the Holder
  • 10.2.8 Specifying the Material of a Security
  • 10.2.9 Indicating the Collateral Type
  • 10.2.10 Opting for Automatic Initiation of Corporate Actions
  • 10.2.11 Indicating the Price Code for Revaluation
  • 10.2.12 Tenor Details
  • 10.2.13 Capturing SWIFT Related Information
  • 10.3 Defining Deal Limits for a Preference Class
  • 10.4 Defining Securities Conversion Rule

    • 11. Maintaining Portfolio Preference Class

  • 11.1 Introduction
  • 11.2 Portfolio Preferences Classes
  • 11.2.1 Specifying Portfolio Preferences Classes
  • 11.2.2 Identifying Portfolio Preference Class
  • 11.2.3 Portfolio Type
  • 11.2.4 Costing Method
  • 11.2.5 Processing
  • 11.2.6 Book Discount Premium
  • 11.2.7 Book Intrinsic Value
  • 11.2.8 Rekey for Authorization
  • 11.2.9 Rekey Fields
  • 11.2.10 Corporate Action Notice
  • 11.2.11 Treasury Bills Accrual
  • 11.2.12 Purchase Interest
  • 11.2.13 Holdings Statement
  • 11.2.14 Transaction Statement
  • 11.2.15 Contra Holding
  • 11.3 Detailed Preferences
  • 11.3.1 Specifying Detailed Preferences
  • 11.3.2 Premium/Discount Accrual
  • 11.3.3 Limit Tracking
  • 11.3.4 Forward Profit and Loss Accrual
  • 11.3.5 Redemption Premium Accrual
  • 11.3.6 Revaluation of Positions
  • 11.3.7 Interest Accrual Preferences
  • 11.3.8 Revaluation Exchange Rate Code
  • 11.4 Yield Accrual for Deals bought on Par

    • 12. Defining a Deal Preference Class

  • 12.1 Introduction
  • 12.2 Deal Preferences Class
  • 12.2.1 Specifying the Deal Preferences Class
  • 12.3 Features of the Screen
  • 12.3.1 Identifying a Deal Preference Class
  • 12.3.2 Exchange Rate Type
  • 12.3.3 Brokerage Allowed
  • 12.3.4 Automatic Money Settlement
  • 12.3.5 Extension Allowed
  • 12.3.6 Rekey Requirements
  • 12.3.7 Specifying Other Preferences

    • 13. Security Restriction Classes

  • 13.1 Introduction
  • 13.2 Security Restrictions
  • 13.2.1 Specifying the Security Restrictions
  • 13.2.2 Identifying a Security Restrictions Class
  • 13.2.3 Security Restriction
  • 13.2.4 Security Access

    • 14. Maintaining Portfolio Restriction Classes

  • 14.1 Introduction
  • 14.2 Portfolio Restriction Classes
  • 14.2.1 Specifying the Portfolio Restriction Classes
  • 14.2.2 Portfolio Access
  • 14.2.3 Viewing Securities - Portfolio Safe Keeping Location Balances Summary
  • 14.2.4 Viewing Securities - Portfolio Safe Keeping Location Movements Summary

    • 15. Defining Attributes of a Securities Product

  • 15.1 Introduction
  • 15.2 Product Type
  • 15.2.1 Exchange Rate Variance
  • 15.3 Preferences for a Product
  • 15.3.1 Specifying Preferences for a Product
  • 15.4 Coupon Processing
  • 15.5 Capturing Interest Details
  • 15.5.1 Specifying Interest Type Details
  • 15.5.2 Specifying Event Details

    • 16. Defining Attributes of a Portfolio Product

  • 16.1 Introduction
  • 16.2 Exchange Rate Variance
  • 16.3 Indicating ‘Preferences’ for a Product

    • 17. Defining Attributes of a Deal Product

  • 17.1 Securities Deal Product
  • 17.1.1 Defining Securities Deal Product
  • 17.1.2 Product Type
  • 17.1.3 Exchange Rate Variance
  • 17.1.4 Specifying Preferences for a Product
  • 17.1.5 Specifying User Defined Fields
  • 17.1.6 Specifying accounting entries for KEST computation

    • 18. Defining a Product Combination

  • 18.1 Introduction
  • 18.2 Creating a Combination Product
  • 18.2.1 Creating a Combination Product

    • 19. Maintaining a Security

  • 19.1 Introduction
  • 19.2 A description of the Security Instrument Definition Screen
  • 19.3 Details of a Security
  • 19.3.1 Entering and Saving the Details of a Security
  • 19.3.2 Identifying a Security
  • 19.3.3 Entering the Main Details
  • 19.3.4 Identifying the Market and the Issuer
  • 19.3.5 Specifying the material of a security
  • 19.3.6 Specifying Redemption Quotation Method
  • 19.3.7 Indicating Corporate Action Preference
  • 19.3.8 Capturing Trade-Related Information
  • 19.3.9 Specifying Type of Price Quotation
  • 19.3.10 Capturing Information Specific to the Security Type
  • 19.3.11 Indicating Banker’s Acceptance
  • 19.3.12 Specifying Currencies
  • 19.3.13 Specifying Relevant Dates
  • 19.3.14 Specifying Price Details
  • 19.3.15 Entering Interest Details for a Bond
  • 19.3.16 Opting for Automatic Initiation of Corporate Actions
  • 19.3.17 Indicating a Revaluation Price Code
  • 19.3.18 Indicating the Collateral Type
  • 19.3.19 Specifying the Market for Revaluation
  • 19.3.20 Specifying the Yield Calculation Parameters for a Security
  • 19.4 Interest Method for Computing Coupon Interest
  • 19.5 Uploading Security Instruments for Amendment
  • 19.6 Bulk Upload- Security Instruments & Market Security Price
  • 19.6.1 Specifying Contract Interest Details
  • 19.7 Reassigning Securities Deal Contract

    • 20. Maintaining and Processing Corporate Actions

  • 20.1 Introduction
  • 20.2 Stages in the Processing of a Corporate Action Event
  • 20.3 Rights and Warrants
  • 20.3.1 Defining Rights and Warrants
  • 20.3.2 Indicating Rights Ratio and Rounding Fractions
  • 20.3.3 Specifying Event Narrative
  • 20.3.4 Saving Rights/Warrants Record
  • 20.4 Processing Rights And Warrants
  • 20.5 Processing Rights
  • 20.5.1 Rights Tear-Off
  • 20.5.2 Rights Exercise
  • 20.5.3 Warrants Tear Off
  • 20.5.4 Warrants Exercise
  • 20.6 Rights and Warrants Expiry Details
  • 20.6.1 Maintaining Rights and Warrants Expiry Details
  • 20.6.2 Specifying End of Trading Date
  • 20.6.3 Event Narrative
  • 20.6.4 Processing a Rights Expiry Event
  • 20.6.5 Processing a Warrants Expiry Event
  • 20.7 Security Redemption Details
  • 20.7.1 Maintaining Security Redemption Details
  • 20.7.2 Specifying Redemption Schedules
  • 20.8 Security Redemptions
  • 20.8.1 Processing for Security Redemptions
  • 20.8.2 Redemption Processing based on Quotation Type
  • 20.8.3 End of Trading Processing
  • 20.9 Processing of Amendment on Redemption Schedules
  • 20.10 Interest Coupon Details
  • 20.10.1 Maintaining Interest Coupon Details
  • 20.10.2 Linking Interest Component to Tax Component
  • 20.10.3 Specifying Event Narrative
  • 20.11 Processing Interest Coupons
  • 20.12 Maintaining Interest Rate Revision Details
  • 20.13 Maintaining Stock Dividend Details
  • 20.14 Maintaining Cash Dividend Details
  • 20.15 Processing dividends
  • 20.16 Maintaining Bonus to Cash Conversion Details
  • 20.17 Processing Bonus to Cash Conversions
  • 20.18 Manually Processing Corporate Action Events
  • 20.19 Moving on to Other Screens

    • 21. Defining Portfolios

  • 21.1 Introduction
  • 21.2 Specifying Portfolio Definition Details
  • 21.3 Entering the Details of a Portfolio
  • 21.3.1 Identifying a Portfolio
  • 21.4 Defining Preferences for a Portfolio
  • 21.5 Specifying the Advices to be Generated
  • 21.6 Viewing Event Details
  • 21.7 Maintaining Security Restrictions for a Portfolio
  • 21.7.1 Features of the screen
  • 21.8 Mapping Accounts to a Safe Keeping Location
  • 21.9 Specifying Accounting Role to Head Mapping Preferences
  • 21.10 Maintaining Security Revaluation Prices for a Portfolio
  • 21.11 Maintaining Risk Profile
  • 21.12 Viewing Safe Keeping Location Portfolio Balances

    • 22. Processing a Securities Deal

  • 22.1 Introduction
  • 22.2 Securities Deal Input Screen
  • 22.2.1 Invoking the Securities Deal Input Screen
  • 22.2.2 A Description of the Securities Deal Input Screen
  • 22.3 Entering the Details of a Deal
  • 22.3.1 Product
  • 22.3.2 Indicating details of the security that is traded
  • 22.3.3 Indicating Deal Details
  • 22.3.4 Entering 'Additional Details' of a Deal
  • 22.3.5 Price Details of the Deal
  • 22.3.6 Viewing Safe Keeping Location Balances
  • 22.4 Deal Net Consideration
  • 22.5 Specifying Details of the Parties Involved in a Deal
  • 22.6 Settlement Instructions for a Deal Leg
  • 22.6.1 Maintaining Settlement Instructions for a Deal Leg
  • 22.6.2 Capturing Settlement Instructions
  • 22.6.3 Capturing Account Details
  • 22.6.4 Capturing Details of the Deal Output
  • 22.6.5 Capturing Party Details
  • 22.7 Levying Tax on a Deal
  • 22.7.1 Features of the Tax Details Screemn
  • 22.8 Processing Brokerage on a Deal
  • 22.8.1 Features of the Contract Brokerage Details Screen
  • 22.9 Uploading the Deals for Amendment
  • 22.10 Liquidating a Deal
  • 22.10.1 Money settlement
  • 22.10.2 Security settlement
  • 22.11 Reassigning a Deal to another User

    • 23. Processing a Block Securities Deal

  • 23.1 Introduction
  • 23.2 Block Deal
  • 23.2.1 Features of a Block Deal in Oracle FLEXCUBE
  • 23.2.2 Invoking the Block Securities Deal Screen
  • 23.2.3 A Description of the Block Securities Deal Screen
  • 23.3 Details of a Block Deal
  • 23.3.1 Entering the Details of a Block Deal
  • 23.3.2 Indicating Details of the Security that is Traded
  • 23.3.3 Indicating Deal Details
  • 23.3.4 Specifying Details of the Single and Multiple Legs of a Deal
  • 23.3.5 Specifying Details of the Multiple Leg of the Deal
  • 23.4 Entering 'Additional Details' of a Deal
  • 23.4.1 Specifying Additional Details for the Deal
  • 23.5 Uploading the Details of a Block Deal

    • 24. Securities Transfer Across Locations

  • 24.1 Securities Transfer Across Locations
  • 24.1.1 Transferring Securities Across Locations
  • 24.1.2 Specifying the SK locations and accounts
  • 24.2 Moving on to the Other Screens

    • 25. Maintaining Block Security Details

  • 25.1 Introduction

    • 26. Batch Processes

  • 26.1 Introduction
  • 26.2 Beginning of Day Processing
  • 26.2.1 Processing Daily Events
  • 26.2.2 Invoking the Automatic Daily Program
  • 26.3 Triggering Securities MSTL Batch
  • 26.4 EOD Processing for Unrealized Revaluation
  • 26.4.1 Unrealized Revaluation for Unsettled Buy and Sell Deals
  • 26.4.2 Unrealized Revaluation for Settled Deals
  • 26.4.3 Illustrations

    • 27. Customer Correspondence

  • 27.1 Introduction
  • 27.2 Deal Related Advices
  • 27.2.1 Corporate action related advices
  • 27.2.2 Statement related advices
  • 27.3 Sample of all the Advices
  • 27.3.1 Securities Trade Confirmation Affirmation Message
  • 27.3.2 Securities Market-Side Trade Confirmation
  • 27.3.3 Securities Receive Free Instruction
  • 27.3.4 Securities Receive Against Payment Instruction
  • 27.3.5 Securities Deliver Free Instruction
  • 27.3.6 Securities Deliver Against Payment Instruction
  • 27.3.7 Securities Receipt Free Confirmation
  • 27.3.8 Securities Receipt Against Payment Confirmation
  • 27.3.9 Securities Deliver Free Confirmation
  • 27.3.10 Securities Delivery Against Payment Confirmation
  • 27.3.11 Securities Notice of Rights Message
  • 27.3.12 Securities Notice of Event Message
  • 27.3.13 Securities Advice of Money Income
  • 27.3.14 Securities Advice of Income in the Form of Securities
  • 27.3.15 Securities Advice of Redemption
  • 27.3.16 Securities Request for Statement Message
  • 27.3.17 Securities Statement of Holdings
  • 27.3.18 Securities Statement of Transactions
  • 27.3.19 Securities Statement of Pending Transactions

    • 28. Making Queries

  • 28.1 Introduction
  • 28.2 Details of Securities Safe keeping Movements
  • 28.2.1 Querying Details of Securities Safe keeping Movements
  • 28.2.2 The Other Query Screens
  • 28.2.3 Ordering
  • 28.3 Viewing Portfolio Securities Movements

    • 29. Handling Repos

  • 29.1 Introduction
  • 29.2 Products
  • 29.2.1 Maintaining Products
  • 29.2.2 Specifying Securities Repo Product Definition Details
  • 29.2.3 Setting Product Preferences
  • 29.2.4 Specifying Interest Details for Product
  • 29.2.5 Associating Discount Accrual Components to Products
  • 29.3 Capturing Details of Repo Contract
  • 29.3.1 Specifying Interest Details
  • 29.4 Uploading Deals for Amendment
  • 29.4.1 Specifying Interest Details
  • 29.5 Maintaining Asset –Liability Linkage

    • 30. Printing Subsidiary General Ledger Form- Repo and Reverse Repo Deals

  • 30.1 Introduction
  • 30.2 SGL Form Maintenance
  • 30.3 Maintaining Security Repo Payment

    • 31. Error Codes and Messages for Securities

  • 31.1 Error Codes and Messages
  • 31.2 Error Codes and Messages for Securities Online
  • 31.3 Error Codes and Messages for Batches
  • 31.4 Error Codes and Messages for Deal Input
  • 31.5 Error Codes And Messages for Non-Securities
  • 31.6 Error Codes and Messages for Portfolio Online
  • 31.7 Error Codes and Messages for Others

    • 32. Annexure A - Accounting Entries and Advices

  • 32.1 Accounting Entries for Securities Module
  • 32.2 Securities Events
  • 32.2.1 Portfolio Type of Products
  • 32.2.2 Customer Buy/Sell Type of Products
  • 32.3 Amount Tags
  • 32.4 Accounting Roles
  • 32.4.1 List I – Acct Roles for a Portfolio Type of Product
  • 32.4.2 List 2 – Acct Roles for a Customer Buy/Sell Type of Product
  • 32.4.3 SS Deal with a Portfolio Type Of Product: Bank Portfolio
  • 32.4.4 SS deal with a Customer Buy/Sell type of product

    • 33. Glossary

  • 33.1 Securities Terms

    • 34. Reports

  • 34.1 Introduction
  • 34.2 Corporate Action Tracking (Coupon EXDATE)
  • 34.2.1 Contents of Report
  • 34.3 Coupon Flipping
  • 34.3.1 Report Options
  • 34.3.2 Contents of Report
  • 34.4 Securities Activity Report
  • 34.4.1 Contents of Report
  • 34.5 Backdated Deals Report
  • 34.5.1 Contents of Report
  • 34.6 Corporate Action Tracking (Ex-Date) Report
  • 34.6.1 Contents of Report
  • 34.7 Corporate Action Pending
  • 34.7.1 Contents of the Report
  • 34.8 Confirmed/Unconfirmed Report
  • 34.8.1 Contents of Report
  • 34.9 Security Disposition Report
  • 34.9.1 Contents of Report
  • 34.10 Deal Settlement Report
  • 34.10.1 Contents of Report
  • 34.11 Securities with Short Positions Report
  • 34.11.1 Selection Criteria
  • 34.11.2 Contents of Report
  • 34.12 Portfolio To Portfolio Deals Report
  • 34.12.1 Contents of Report
  • 34.13 Matched/Unmatched Confirmation Message Report
  • 34.14 Forward Profit and Loss (PnL) Accrual Report
  • 34.14.1 Selection Options
  • 34.14.2 Contents of Report
  • 34.15 Securities Maturity Report
  • 34.15.1 Selection Options
  • 34.15.2 Contents of Report
  • 34.16 Securities Contracts Overrides Report
  • 34.16.1 Contents of Report
  • 34.17 Securities Exception Report
  • 34.17.1 Selection Options
  • 34.17.2 Contents of Report
  • 34.18 Securities Activity Report
  • 34.18.1 Contents of Report

    • 35. Function ID Glossary