4. Other Fund Activities

This chapter contains the following sections:

4.1 Entities with Funds Association

This section contains the following topics:

4.1.1 Associating Entities with Funds

This screen can be used to associate entities with a fund. You can maintain either a list of ‘restricted’ entities, or an ‘allowed’ list.

If you maintain a restrictive list as ‘Yes’, only the entities that you maintain in the list in the Fund Entity Maintenance screen for a fund are restricted from transacting in the selected fund.  If you maintain a restrictive list as ‘No’ , only the entities that you maintain in the list in the Fund Entity Maintenance screen are allowed to transact in the selected fund. If you maintain neither a restrictive nor an allowed list, all entities of a type are allowed to transact in the fund.

Agents

In the case of agents, mapping can be carried out for only those Agents and their branches as have been created using the Agent and Agency Branch screens. Only those agents and their branches that have been mapped to a fund as part of an ‘allowed’ list will be able to accept transactions related to that particular fund. Agents and their branches maintained as a ‘restrictive’ list will not be able to accept transactions for the fund.

Distributor agents can also be mapped to the fund. This would be required in a scenario where the Distributor markets certain funds of the AMC, or in cases where a service agent performs back office processing for an AMC as well as a Distributor.

Customer Categories

Your AMC may wish to restrict investment in a fund based on investor categories, allowing only investors of certain categories to invest. Also, your AMC may wish to restrict or allow use of a fund to certain unit holders. You can maintain lists of such allowed / restricted investor categories (or unit holders) in the Fund Entity Maintenance screen in the Fund Manager component of the system.

At the transaction entry or upload (including adjustment transactions), standing instructions entry or upload, or income distribution setup, the unit holders in a restricted list or belonging to the restricted categories cannot be specified. For an allowed list, at the transaction entry or upload (including adjustment transactions), standing instructions entry or upload, or income distribution setup, the unit holders in the allowed list or belonging to the allowed categories can be specified.

If you maintain neither a restrictive nor an allowed list, all customers are allowed to transact in the fund.

CIFs

You might need to restrict certain CIFs from a restricted category from transacting in a fund. You can maintain such restrictions in the Fund Entity Maintenance screen.

You can disallow CIFs belonging to a restricted category (a restrictive list); or, you might require maintaining a list of CIFs that are allowed to transact in a fund (a positive list).

The system checks the CIF number specified for any transaction that is entered in the Transaction Detail screens as well as in the Standing Instructions Detail screen, to see if any restrictions have been maintained that would entail disallowing the specified CIF from transacting into the fund. The restrictions, if any, applicable at the following levels, would be enforced:

Check Vendors

Using this screen, you can also associate a check vendor that is maintained as an entity in the system, with those funds for which the vendor is designated to print checkbooks that are requested by investors availing the check writing facility.

4.1.2 Invoking Fund Entity Mapping Detail Screen

To map entities to a fund, use the ‘Fund Entity Mapping Detail’ screen. You can invoke this screen by typing ‘UTDFNENT’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button. The ‘Fund Entity Mapping Detail’ screen is displayed.

Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the fund and entity that you wish to map.

You can only map entities to a fund for which the latest rule is effective, and all fund rules have been authorized.

When you enter a fund entity mapping in this screen, you can save it by selecting the save option from the action menu.

You can specify the following fields in this screen:

Umbrella Fund

Mandatory

Select ‘Yes’ if the fund for which you wish to maintain the fund entity association is an umbrella fund.

Fund ID

6 Character Maximum, Mandatory

Select the fund for which you want to map entities, from the options provided. If you specify the fund, the ISIN Code of the selected fund is displayed in the ISIN Code field. You can also map all the funds to an entity by selecting ‘All’ option from the option list.

If you have selected the ‘All’ option, then any new fund created in the system will be automatically mapped to this entity. You will not be able to map individual fund to this entity. Similarly, if individual fund is mapped to an entity, then the system will not allow you to map all the funds to the same entity.

Entity Type

Alphanumeric; Mandatory

You can use this field to indicate the type of entity that is to be associated with the selected fund. You can associate any of the following entities:

If you are maintaining a restrictive / positive list of CIFs that you wish to disallow / allow to transact into the specified fund, you must select the CIF Number option in this field.

If you select the CIF Number option, you can also specify the appropriate restriction category and any remarks, in the Restriction Category and Remarks fields.

Entity ID

12 Character; Numeric; Mandatory

Select the code of the entity that is to be allowed to operate this fund, from the options provided. It could be an agent, or a check vendor who is designated to print checkbooks that are requested by investors availing the check writing facility; it could also be a unit holder, individual or corporate investor category, or a clearing agent.

Restrictive List

Optional

Use this field to indicate whether you are maintaining a list of ‘allowed’ entity associations for the fund, or a ‘restrictive’ one. Check this box to indicate a restricted list; leave it unchecked to indicate an allowed list.

If you maintain a ‘restrictive list’, only the entities that you specify are restricted from transacting in the selected fund. If you maintain an ‘allowed’ list, only the entities that you specify are allowed to transact in the selected fund.

Based on the installation setup, the system validates Broker fund mapping in one the following ways:

ISIN Code

25 Characters; Alphanumeric; Mandatory

Select the ISIN Code of the fund for which you want to map entities, from the options provided. If you specify the ISIN Code of a fund, the ID of the fund is displayed in the Fund field.

Entity Name

Display Only

On selection of the Entity Code, the system automatically displays the name of the entity.

Remarks

Alphanumeric; Optional

If you are maintaining a restrictive / positive list of CIFs that you wish to disallow / allow to transact into the specified fund, you can specify any appropriate remarks in this field.

Restriction Category

Alphanumeric; Optional

If you are maintaining a restrictive / positive list of CIFs that you wish to disallow / allow to transact into the specified fund, you can select the appropriate restriction category in this field.

4.2 Fund Entity Mapping Summary Screen

This section contains the following topics:

4.2.1 Retrieving Record in Fund Entity Mapping Summary Screen

You can retrieve a previously entered record in the Summary Screen, as follows:

Invoke the ‘Fund Entity Mapping Summary’ screen by typing ‘UTSFNENT’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button. Specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

Note

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

4.2.2 Editing Fund Entity Mapping

You can modify the details of Fund Entity Mapping that you have already entered into the system, provided it has not subsequently authorized. You can perform this operation as follows:

4.2.3 Viewing Fund Entity Mapping

To view a record that you have previously input, you must retrieve the same in the Fund Entity Mapping Summary screen as follows:

4.2.4 Deleting Fund Entity Mapping

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

4.2.5 Authorizing Fund Entity Mapping

An unauthorized Fund Entity Mapping must be authorized in the system for it to be processed. To authorize a record:

When a checker authorizes a transaction, details of validation, if any, that were overridden by the maker of the transaction during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the transaction.

4.2.6 Amending Fund Entity Mapping

After a Fund Entity Mapping is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

4.2.7 Authorizing Amended Fund Entity Mapping

An amended Fund Entity Mapping maintenance must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module and Agency Branch module.

The subsequent process of authorization is the same as that for normal transactions.

4.2.8 Copying Attributes

If you want to create a new Fund Entity Mapping with the same attributes of an existing maintenance, you can copy the attributes of an existing Fund Entity mapping to a new one.

To copy the attributes:

4.3 Agency Branch Backdating Setup

This section contains the following topics:

4.3.1 Invoking the Agency Branch Backdating Limit Setup Screen

This fund rule facilitates the maintenance of the back dating limits for a particular transaction type for an agency branch in a fund. The backdating limit applicable for every transaction type can also be specified in the Transaction Processing Rules profile for the fund, but if it is necessary to handle exceptions for a few agency branches for specific transaction types, the same can be maintained here. The information entered here will then supersede the information in the Transaction Processing Rules profile for the fund, and for that agency branch.

To set up the backdating options for a transaction type for a fund, use the ‘Fund Agency BackDating Limit Setup Detail’ screen. You can invoke this screen by typing ‘UTDFALMT’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the backdating limits that you wish to maintain.

Before you set up an Agency Branch Backdating limits profile record for a fund, it is desirable to ensure that the following information is already setup in the system:

You can specify the following fields in this screen:

Fund ID

6 Character Maximum, Alphanumeric, Mandatory

The Fund ID is a unique identification for each Fund as defined in Fund Demographics. Choose the fund from the list for which the Agency Branch backdating is being set up.

ISIN Code

12 Characters Maximum; Alphanumeric; Mandatory

Select the ISIN Code of the fund for which you want to set up agency branch backdating, from the options provided. If you specify the ISIN Code of a fund, the ID of the fund is displayed in the Fund field.

Agency Details Section

Agent Code

3 characters, Numeric, Mandatory

Enter the code of the agent who is allowed to operate this fund and for whom backdating is to be done.

Agency Branch Code

3 characters, Numeric, Mandatory

Enter the branch code of the specified Agent for whom backdating is to be done.

Transaction Type

2 Character Maximum, Alphanumeric, Mandatory

Enter the Transaction Type for which backdating is to be done.

Backdating Period

3 Characters Maximum, Numeric, mandatory

Enter the number of days allowed in Backdating for that Agency Branch for the transaction type specified above.

4.4 Fund Agency Backdating Limit Summary Screen

The section contains the following topics:

4.4.1 Retrieving Record in Fund Agency Backdating Limit Summary Screen

You can retrieve a previously entered record in the Summary Screen, as follows:

Invoke the summary screen and specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

Note

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

4.4.2 Editing Fund Agency Backdating Limit

You can modify the details of Fund Agency Backdating Limit that you have already entered into the system, provided it has not subsequently authorized. You can perform this operation as follows:

  1. Invoke the Fund Agency Backdating Limit Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for modification in the Authorization Status field. You can only modify records that are unauthorized. Accordingly, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields to retrieve the record that is to be modified.
  4. Click ‘Search’ button. All unauthorized records with the specified details are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to modify in the list of displayed records. The Fund Agency Backdating Limit Detail screen is displayed.
  6. Select Unlock Operation from the Action list to modify the record. Modify the necessary information.
  7. Click Save to save your changes. The Fund Agency Backdating Limit Detail screen is closed and the changes made are reflected in the Fund Agency Backdating Limit Summary screen.

4.4.3 Viewing Fund Agency Backdating Limit

To view a record that you have previously input, you must retrieve the same in the Fund Agency Backdating Limit Summary screen as follows:

  1. Invoke the Fund Agency Backdating Limit Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for viewing in the Authorization Status field. You can also view all records that are either unauthorized or authorized only, by choosing the Unauthorized/ Authorized option.
  3. Specify any or all of the details of the record in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to view in the list of displayed records. The Fund Agency Backdating Limit Detail screen is displayed in View mode.

4.4.4 Deleting Fund Agency Backdating Limit

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

  1. Invoke the Fund Agency Backdating Limit Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for deletion.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to delete in the list of displayed records. The Fund Agency Backdating Limit Detail screen is displayed.
  6. Select Delete Operation from the Action list. The system prompts you to confirm the deletion and the record is physically deleted from the system database.

4.4.5 Authorizing Fund Agency Backdating Limit

An unauthorized Fund Agency Backdating Limit must be authorized in the system for it to be processed. To authorize a record:

  1. Invoke the Fund Agency Backdating Limit Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. Typically, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Fund Agency Backdating Limit Detail screen is displayed. Select Authorize operation from the Action List.

When a checker authorizes a transaction, details of validation, if any, that were overridden by the maker of the transaction during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the transaction.

4.4.6 Amending Fund Agency Backdating Limit

After a Fund Agency Backdating Limit is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

  1. Invoke the Fund Agency Backdating Limit Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. You can only amend authorized records.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Fund Agency Backdating Limit Detail screen is displayed in amendment mode. Select Unlock operation from the Action List to amend the record.
  6. Amend the necessary information and click on Save to save the changes.

4.4.7 Authorizing Amended Fund Agency Backdating Limit

An amended Fund Agency Backdating Limit must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module and Agency Branch module.

The subsequent process of authorization is the same as that for normal transactions.

4.4.8 Copying Attributes

If you want to create a new Fund Agency Backdating Limit with the same attributes of an existing one, you can copy the attributes of an existing Fund Agency Backdating Limit to a new one.

To copy the attributes:

  1. Retrieve the record whose attributes the new Fund Agency Backdating Limit should inherit. You can retrieve the record through the Summary screen or through the F7-F8 operation explained in the previous sections of this chapter.
  2. Click on Copy
  3. Indicate the ID for the new Fund Agency Backdating Limit. You can, however, change the details of the new maintenance.

4.5 Restrictions for Switch Transactions

This section contains the following topics:

4.5.1 Invoking the Fund Switch Restrict Detail Screen

Switch transactions are governed by the switching policy indicated for the AMC. Accordingly, switch transactions could either be allowed between funds within the AMC, or between funds within the same fund family.

In the case of Distributors, no switching logic might be indicated.

For a fund, you might require to disallow switch transactions into a few selected funds (a restrictive list); or, you might require maintaining a list of funds into which switch transactions are allowed (a positive list).

Typically, a restrictive list could be required if the switching logic indicated for the AMC entails no restrictions on switch transactions.

You can maintain such restrictive or positive lists for a fund in the ‘Fund Switch Restrict Detail’ screen. You can invoke this screen by typing ‘UTDFNSWR’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the lists on switch transactions.

Before you maintain switch restrictions in the Fund Switch Restrictions screen, you must ensure that:

Maintenance of switch restrictions is not a fund rule, and can be done after the fund rules have been maintained.

Note

For a fund, you cannot maintain both a positive as well as a restrictive list.

You can specify the following fields in this screen:

Fund ID

Alphanumeric; Mandatory if ISIN Code is not entered

Select the ID of the fund for which you are maintaining a restrictive or positive list of funds for switch transactions. When the restrictive / positive list is applied, the fund you select here is considered the ‘From Fund’.

To select the fund, you can either indicate the Fund ID or the ISIN Code of the fund. When you select the fund, the effective date of the fund is also displayed.

ISIN Code

Alphanumeric; Mandatory if Fund ID is not entered

Select the ISIN Code of the fund for which you are maintaining a restrictive or positive list of funds for switch transactions. When the restrictive / positive list is applied, the fund you select here is considered the ‘From Fund’

To select the fund, you can either indicate the Fund ID or the ISIN Code of the fund. When you select the fund, the effective date of the fund is also displayed.

Restrictive List

Optional

For a fund, you might require to disallow switch transactions into a few selected funds (a restrictive list); or, you might require maintaining a list of funds into which switch transactions are allowed (a positive list)

You can indicate that you are maintaining a restrictive list, by choosing ‘Yes’. To indicate that the list is a positive list, choose ‘No’.

If you indicate a restrictive list, switch transactions into any of the selected funds in the list will not be allowed. If you indicate a positive list, switch transactions are allowed only into any of the selected funds in the list. For a fund, only a restrictive list OR a positive list can be maintained, not both.

Limit Restrictive List To

Alphanumeric; Mandatory

If you have indicated a restrictive list, you can indicate the range of funds for which the restrictive list applies, in this field.

Indicating the range of funds in this field is dependant on the switching logic applicable for the AMC (also in the case of Distributors), as given below:

This field is not applicable for positive lists; the switching logic of the AMC is defaulted here and cannot be changed.

Disabled?

Optional

You can use this field to disable the fund switch restrictions being maintained in this screen. Check this box to disable the restrictions, or leave it unchecked to indicate that the restrictions are enabled.

To Fund ID

Alphanumeric; Mandatory

Select the ID of the fund into which switch transactions from the selected ‘from fund’ are disallowed (if you are maintaining a restrictive list) or allowed (if you are maintaining a positive list). When the restrictive / positive list is applied, the fund you select here is considered the ‘To Fund’.

To select the fund, you can either indicate the Fund ID or the ISIN Code of the fund. When you select the fund, the short name of the fund is also displayed.

The funds available for selection in this field depend on the option selected in the Limit Restricted Funds To field:

To ISIN Code

Alphanumeric; Mandatory

Select the ISIN Code of the fund into which switch transactions from the selected ‘from fund’ are disallowed (if you are maintaining a restrictive list) or allowed (if you are maintaining a positive list). When the restrictive / positive list is applied, the fund you select here is considered the ‘To Fund’.

To select the fund, you can either indicate the Fund ID or the ISIN Code of the fund. When you select the fund, the short name of the fund is also displayed.

The funds available for selection in this field depend on the option selected in the Limit Restricted Funds To field:

To Fund Name

Alphanumeric, Display

When you select the Fund ID, the system defaults the value of the to fund name.

How Restricted / Positive Lists Work

The following example illustrates how restricted lists for switch transactions would be applied.

Example

For the Royal Trust AMC, no restrictions for switch transactions have been indicated in the switching logic (the Switching Logic in the Entity Maintenance is ‘No Restrictions’). The following funds are maintained:

Fund

AMC

Fund Family

Fund 1

Royal Trust AMC

Growth Funds

Fund 2

Carling Finance AMC

Equity Funds

Fund 3

Elton Trueblood AMC

Equity Funds

Fund 4

Carling Finance AMC

Growth Funds

Fund 5

Carling Finance AMC

Equity Funds

The switch restriction lists are maintained as follows:

Fund

Restrictive / Positive List

Limit Restricted List To

Restricted / Allowed Funds

Fund 1

Restrictive

No Restrictions

Fund 2 (Restricted)

Fund 2

Restrictive

Within AMC

Fund 4 (Restricted)

Fund 3

Restrictive

Within Fund Family

Fund 5 (Restricted)

Fund 4

Positive

No Restrictions

Fund 1 (Allowed)

The lists would apply as follows:

From Fund

To Funds Allowed

To Funds Disallowed

Fund 1

All funds except Fund 2

Fund 2

Fund 2

Fund 5

Fund 4

Fund 3

Fund 2

Fund 5

Fund 4

Fund 1

All funds except Fund 1

4.6 Fund Switch Restrict Summary Screen

This section contains the following sections:

4.6.1 Retrieving Record in Fund Switch Restrict Summary Screen

You can retrieve a previously entered record in the Summary Screen, as follows:

Invoke the summary screen and specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

Note

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

4.6.2 Editing Fund Switch Restrict Record

You can modify the details of a Fund Switch Restrict record that you have already entered into the system, provided it has not subsequently authorized. You can perform this operation as follows:

  1. Invoke the Fund Switch Restrict Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for modification in the Authorization Status field. You can only modify records that are unauthorized. Accordingly, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields to retrieve the record that is to be modified.
  4. Click ‘Search’ button. All unauthorized records with the specified details are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to modify in the list of displayed records. The Fund Switch Restrict Detail screen is displayed.
  6. Select Unlock Operation from the Action list to modify the record. Modify the necessary information.
  7. Click Save to save your changes. The Fund Switch Restrict Detail screen is closed and the changes made are reflected in the Fund Switch Restrict Summary screen.

4.6.3 Viewing Fund Switch Restrict Record

To view a record that you have previously input, you must retrieve the same in the Fund Switch Restrict Summary screen as follows:

  1. Invoke the Fund Switch Restrict Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for viewing in the Authorized field. You can also view all records that are either unauthorized or authorized only, by choosing the Unauthorized/ Authorized option.
  3. Specify any or all of the details of the record in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to view in the list of displayed records. The Fund Switch Restrict Detail screen is displayed in View mode.

4.6.4 Deleting Fund Switch Restrict Record

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

  1. Invoke the Fund Switch Restrict Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for deletion.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to delete in the list of displayed records. . The Fund Switch Restrict Detail screen is displayed.
  6. Select Delete Operation from the Action list. The system prompts you to confirm the deletion and the record is physically deleted from the system database.

4.6.5 Authorizing Fund Switch Restrict Record

  1. An unauthorized Fund Switch Restrict record must be authorized in the system for it to be processed. To authorize a record:
  2. Invoke the Fund Switch Restrict Summary screen from the Browser.
  3. Select the status of the record that you want to retrieve for authorization. Typically, choose the unauthorized option.
  4. Specify any or all of the details in the corresponding fields on the screen.
  5. Click ‘Search’ button. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  6. Double click the record that you wish to authorize. The Fund Switch Restrict Detail screen is displayed. Select Authorize operation from the Action List.

When a checker authorizes a transaction, details of validation, if any, that were overridden by the maker of the transaction during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the transaction.

4.6.6 Amending Fund Switch Restrict Record

After a Fund Switch Restrict record is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

  1. Invoke the Fund Switch Restrict Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. You can only amend authorized records.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Fund Switch Restrict Detail screen is displayed in amendment mode. Select Unlock operation from the Action List to amend the record.
  6. Amend the necessary information and click on Save to save the changes.

4.6.7 Authorizing Fund Switch Restrict Record

An amended Fund Switch Restrict record must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module and Agency Branch module.

The subsequent process of authorization is the same as that for normal transactions.

4.6.8 Copying Attributes

If you want to create a new Fund Switch Restrict record with the same attributes of an existing maintenance, you can copy the attributes of an existing Fund Switch Restrict record to a new one.

To copy the attributes:

  1. Retrieve the record whose attributes the new Fund Switch Restrict record should inherit. You can retrieve the record through the Summary screen or through the F7-F8 operation explained in the previous sections of this chapter.
  2. Click on Copy.
  3. Indicate the ID for the new Fund Switch Restrict maintenance. You can, however, change the details of the new maintenance.

4.7 Fund Price

This section contains the following topics:

4.7.1 Invoking the Fund Price Maintenance Screen

The Real NAV for the fund for a specific date must be declared, according to the frequency specified for this declaration.

To set up the fund prices, use the ‘Fund Price Detail’ screen. You can invoke this screen by typing ‘UTDFPRIC’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button. The ‘Fund Price Detail’ screen is displayed.

Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the new fund price.

After you have set up and authorized a fund, you may enter the Fund Price on the Next Price Declare Date that you have specified in the General Operating Rules. Subsequently, you can enter the Fund Price according to the price declare frequency that you have specified in the General Operating Rules for the fund.

You can specify the following fields in this screen:

Fund ID

6 Character Maximum, Alphanumeric, Mandatory

Select the fund for which the price is being set, from the options provided.

Effective Date

Display Only

The system date is displayed in this field. It is deemed that the price entered in this screen is effective from the system date.

Fund Base Currency

Display Only

When the fund is selected, the Fund Base Currency for the selected fund is picked up from the Fund Demographics profile and displayed here.

ISIN Code

12 Characters Maximum; Alphanumeric; Mandatory

Select the ISIN Code of the fund for which you want to set up the fund price, from the options provided. If you specify the ISIN Code of a fund, the ID of the fund is displayed in the Fund field.

NAV Computation

You need to select the option based on which the Fund Price is to be calculated. The following options are available for calculation of Fund Price:

Net Asset Value

If you choose this option, you must specify the Real NAV per unit, and the system will compute the fund price per transaction, based on whether the fund is formula-based.

Total Assets

If you choose this option, you must specify the Total Assets, and based on the outstanding units, the system computes the net asset value.

Formula Builder

If you choose this option, you must specify values for all the user enterable fields, and the system computes the Net Asset Value.

Real Net Asset Value per Lot

Numeric, Mandatory

Enter the Real NAV per Unit for the period when the price is being set.

This is applicable only if NAV is selected in the Total assets/ NAV / Formula Builder option. If Total Assets is selected, then this is calculated by the system.

If entered, the system validates this value against the fluctuation limits set for the selected transaction type, in the selected fund, in the Transaction Processing Rules. If the limit is exceeded, an override is sought while saving the price.

NAV Lot

Enter the NAV lot amount.

Total Net Assets

Numeric, Optional

Enter the Total Net Asset Value or Fund Corpus for the fund. This is applicable only if Total Assets is selected in the Total Assets / NAV / Formula Builder option. If NAV is selected then this is calculated by the system.

This should never exceed or be equal to the figure of ten thousand trillion, at any point of time.

No. Of Unit Holders

Numeric, Display

This displays the Total Number of unit holders holding a balance in the fund. This number will be the actual number for any given effective date. This is also calculated by the system.

Declared NAV per Lot

Numeric, Display

The NAV declared is displayed here.

Floor Price

Numeric, Mandatory

Enter the Floor Price for the fund. The floor price is to indicate the lowest price that the fund can offer. Based on the loads, if the net transaction price happens to be lower than this floor price then, the floor price would be considered as net transaction price. This will typically be in case of a redemption or a switch transaction.

Ceiling Price

Numeric, Mandatory

Enter the Ceiling Price for the fund. The Ceiling price is to indicate the highest price that the fund can offer. Based on the loads, if the net transaction price happens to be greater than the Ceiling Price then, the Ceiling Price would be considered as the net transaction price. This will typically be in case of a subscription or IPO transaction.

The Floor Price should be less than the Fund Price and the Ceiling Price should be greater than the Fund Price i.e., Fund Price should be between Floor Price and the Ceiling Price.

Foreign Investors Outstanding Units

Numeric, Display

Displays the number of Foreign Investors’ Outstanding Units for the fund that is also calculated by the system. The units displayed prior to allocation are of the previous period and post-allocation, the Foreign Investors’ units will form the balance for the effective day.

The Foreign Investors Outstanding Units should always be below the figure of one hundred trillion, at any point of time.

Amend Transactions

This option allows you to reverse and recreate transactions affected by amending the Fund Price or merely updating the price. Only after you select this option, the transactions included during authorization of the Fund Price are affected.

The system will not reverse and recreate the transactions if any underlying child transaction has been created from the old transaction.

The details specified below are displayed if the related fund is a ‘Hedge Fund’.

Outstanding Units

Numeric, Display

This displays the number of Total Outstanding Units for the fund that is calculated by the system. The units displayed prior to allocation are of the previous period. Post-allocation, the outstanding units will become the balances for the effective day.

The Total Outstanding Units should never exceed or be equal to the figure of ten thousand trillion, at any point of time.

High Water Mark (HWM)]

The high water mark, as per the price date, gets displayed here.

Reflect in Trading

Choose this option if you wish to make this fund price applicable for an investor who maintains a trading account under this fund.

Hurdle Rate

The hurdle rate as per the price date, specified in ‘Hedge Funds Processing Rules’ screen gets displayed here.

HWM + Hurdle

The sum of High Water Mark (HWM) and the hurdle rate, rounded based on the price rounding method, gets displayed here.

Swinging Price Basis

The system displays whether mid/offer/bid price is applied for the fund.

Swinging Price

The system displays the swinging price which is applied for allocating transactions. This field can be amended during the Modify operation.

The Swinging Price Basis and Swinging Price fields are populated on running the Mini EOD for swinging price computation, only if the fund is swinging or semi swinging price basis fund. For non swinging/non semi swinging fund these fields will be blank.

4.7.1.1 Fund Price Transaction Details Tab

After you have specified the price details, click ‘Ok’ button. The Transaction Details link is enabled, which when clicked, invokes the Fund Transaction Details to be displayed in the lower section of the screen.

The Fund Price details for all the given transaction types are displayed in the Fund Price Transaction Details section.

The transaction base price is calculated based on the definition in the fund rule set up. On clicking ‘Ok’ button, the system defaults the Effective Date, the Transaction Type and the Base Price. You can modify the Base Price Constant.

Allocation Vs Register Capital gives the value that can be redeemed out of the fund on that day. You can modify this field only when the Transaction Type is Redemption, Transfer or Switch From.

The transaction Base Price is calculated on the basis of the definition in the Fund Rule set-up.

Example

Say, for Redemption, the base price definition is 98% of the Fund Price, and then if Fund Price is Rs.100, the Redemption Base Price will be Rs.98.

4.7.1.2 Fund Price Components Tab

This section displays the Fund Price details for all the given transaction types. To view this section and its functionality, refer the Fund Formula Maintenance section in this manual.

Note

4.7.1.3 Additional Information Tab

Label Code

Enter the label of the additional information field.

Field Value

Enter the value in this field.

Based on the entity add info mapping, all mapped additional information is displayed here.

4.7.2 Fund Price Currency Details Button

You can maintain fund price currency details by clicking ‘Fund Price Currency Button’ tab in ‘Fund Price Detail’ screen. You can capture the various price details for Fund Price Currency’s for various transaction types and component details for a COE fund in this screen..

 

The system will validate if the price is maintained for the fund in fund price currencies. if not the system will display an error message as ‘Prices for all currencies are not maintained. Do you wish to continue?’

During the pre EOD, the system will check if price in FPC have been maintained for the day. If the price in currency of expression is not found, then the transaction entered in currency of expression will not be allotted.

The Units will be allocated using respective currency of expression or fund price if the transaction is done in currency of expression. If the transaction is done in fund base currency then the allocation will take place by taking the fund price captured in fund base currency. If the transaction is done in a currency which is other than FBC or currency of expression then the allocation of units will be done using exchange rate of FBC.

For project allocation, the system will take the latest available price and show the project allocation. For menu allocation if the price is not available then system will not allocate the transactions.

NAV Correction for fund price currencies

The system will be impacted for NAV corrections for fund price currencies. In case the NAV is corrected for fund price currency, for instance, if GBP and the amend transaction is set to Yes, then all the transactions will be corrected with the new NAV price for the fund price currency (GBP). In case the amend transaction is set to No, the system will not correct the new price at transaction level.

If it is a holiday at AMC level, then you need to enter the previous price. For instance, assume that we have a fund with price Lag 0 and Allocation lag as 1, and the Client Country, 'FPONALLOCLAG' is set to 1. Also assume 7th March is declared as holiday at AMC level. But as per system calendar, 7th March 2017 is a working Day. Hence, on 6th March 2017, the system will allow you to input price of 3rd March 2017. However, you cannot input price of 6th March 2017 on 7th March 2017 as 7th March 2017 is set as Holiday for this fund. The system will allow you to input 6th March 2017 price only on 8th March 2017.

For more details on field explanation, please refer ‘Fund Price Currencies Button’ section in Fund Rule’ screen in this User Manual.

4.8 Fund Price Maintenance Summary Screen

This section contains the following topics:

4.8.1 Retrieving Record in the Fund Price Maintenance Summary Screen

You can retrieve a previously entered record in the Summary Screen, as follows:

Invoke the ‘Fund Price Summary’ screen by typing ‘UTSFPRIC’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button. Specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

Note

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

4.8.2 Editing Fund Price Record

You can modify the details of Fund Price record that you have already entered into the system, provided it has not subsequently authorized. You can perform this operation as follows:

  1. Invoke the Fund Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for modification in the Authorized field. You can only modify records that are unauthorized. Accordingly, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields to retrieve the record that is to be modified.
  4. Click ‘Search’ button. All unauthorized records with the specified details are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to modify in the list of displayed records. The Fund Price Detail screen is displayed.
  6. Select Unlock Operation from the Action list to modify the record. Modify the necessary information.
  7. Click Save to save your changes. The Fund Price Detail screen is closed and the changes made are reflected in the Fund Price Summary screen.

4.8.3 Viewing Fund Price Record

To view a record that you have previously input, you must retrieve the same in the Fund Price Summary screen as follows:

  1. Invoke the Fund Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for viewing in the Authorization Status field. You can also view all records that are either unauthorized or authorized only, by choosing the Unauthorized/ Authorized option.
  3. Specify any or all of the details of the record in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to view in the list of displayed records. The Fund Price Detail screen is displayed in View mode.

4.8.4 Deleting Fund Price Record

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

  1. Invoke the Fund Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for deletion.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to delete in the list of displayed records. The Fund Price Detail screen is displayed.
  6. Select Delete Operation from the Action list. The system prompts you to confirm the deletion and the record is physically deleted from the system database.

4.8.5 Authorizing Fund Price Record

An unauthorized Fund Price record must be authorized in the system for it to be processed. To authorize a record:

  1. Invoke the Fund Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. Typically, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Fund Price Detail screen is displayed. Select Authorize operation from the Action List.

When a checker authorizes a transaction, details of validation, if any, that were overridden by the maker of the transaction during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the transaction.

4.8.6 Amending Fund Price Record

After a Fund Price record is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

  1. Invoke the Fund Price record Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. You can only amend authorized records.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Fund Price Detail screen is displayed in amendment mode. Select Unlock operation from the Action List to amend the record.
  6. Amend the necessary information and click on Save to save the changes.

4.8.7 Authorizing Amended Fund Price Record

An amended Fund Price record must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module and Agency Branch module.

The subsequent process of authorization is the same as that for normal transactions.

4.8.8 Copying Attributes

If you want to create a new Fund Price record with the same attributes of an existing maintenance, you can copy the attributes of an existing Fund Price record to a new one.

To copy the attributes:

  1. Retrieve the record whose attributes the new Fund Price record should inherit. You can retrieve the record through the Summary screen or through the F7-F8 operation explained in the previous sections of this chapter.
  2. Click on Copy
  3. Indicate the ID for the new Fund Price record. You can, however, change the details of the new maintenance.

4.9 Adhoc Prices

This section contains the following topics:

4.9.1 Invoking Adhoc Price Dates Maintenance Detail Screen

To set up adhoc price dates for any transaction types mapped to a fund, use the ‘Ad Hoc Price Detail’ screen.

Note

You will be allowed to enter adhoc price dates for funds for which you have maintained a specific fund price date. This is irrespective of whether or not you have indicated Forward Pricing is applicable.

You can invoke the ‘Ad Hoc Price Detail’ screen by typing ‘UTDAHPRM’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the adhoc price maintenance.

In the Adhoc Price Dates Maintenance section, specify the following:

Fund Details Section

Fund Id

Select the fund id of the fund for which ad-hoc price dates have to be maintained, from the option list provided.

Fund Identification Number

Select the fund identification number of the fund for which ad-hoc price dates have to be maintained, from the option list provided

The Fund Identification Number of the fund you have chosen will be displayed when you choose the Fund Id.

You could, alternatively, choose the Fund Identification Number of the fund and the Fund Id will be displayed.

Adhoc Price Dates Maintenances

You can specify the following in this section:

Transaction Type

Choose the transaction type for which you want to maintain adhoc price dates.

Adhoc Price Date

Specify the adhoc price date. The date you enter cannot be earlier than Application Date, and the Next Price Date maintained in the General Operating Rules screen.

Cut Off Days

Enter the number of days after the price date beyond which the price date is moved to the next specific pricing cycle.

For Reporting?

Check this box to indicate the date entered is to be used for reporting purposes only. In this case, this date will not be used for the subsequent price date calculation.

Note

4.10 Adhoc Price Dates Maintenance Summary Screen

This section contains the following topics:

4.10.1 Retrieving Record in Adhoc Price Dates Maintenance Summary Screen

You can retrieve a previously entered record in the Summary Screen, as follows:

Invoke the summary screen and specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

Note

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

4.10.2 Editing Adhoc Price Record

You can modify the details of an Adhoc Price record that you have already entered into the system, provided it has not subsequently authorized. You can perform this operation as follows:

  1. Invoke the Adhoc Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for modification in the Authorized field. You can only modify records that are unauthorized. Accordingly, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields to retrieve the record that is to be modified.
  4. Click ‘Search’ button. All unauthorized records with the specified details are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to modify in the list of displayed records. The Adhoc Price Detail screen is displayed.
  6. Select Unlock Operation from the Action list to modify the record. Modify the necessary information.
  7. Click Save to save your changes. The Adhoc Price Detail screen is closed and the changes made are reflected in the Adhoc Price Summary screen.

4.10.3 Viewing Adhoc Price Record

To view a record that you have previously input, you must retrieve the same in the Adhoc Price Summary screen as follows:

  1. Invoke the Adhoc Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for viewing in the Authorization Status field. You can also view all records that are either unauthorized or authorized only, by choosing the Unauthorized/ Authorized option.
  3. Specify any or all of the details of the record in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to view in the list of displayed records. The Adhoc Price Detail screen is displayed in View mode.

4.10.4 Deleting Adhoc Price record

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

  1. Invoke the Adhoc Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for deletion.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to delete in the list of displayed records. . The Adhoc Price Detail screen is displayed.
  6. Select Delete Operation from the Action list. The system prompts you to confirm the deletion and the record is physically deleted from the system database.

4.10.5 Authorizing Adhoc Price Record

An unauthorized Adhoc Price record must be authorized in the system for it to be processed. To authorize a record:

  1. Invoke the Adhoc Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. Typically, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Adhoc Price Detail screen is displayed. Select Authorize operation from the Action List.

When a checker authorizes a transaction, details of validation, if any, that were overridden by the maker of the transaction during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the transaction.

4.10.6 Amending Adhoc Price Record

After an Adhoc Price record is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

  1. Invoke the Adhoc Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. You can only amend authorized records.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Adhoc Price Detail screen is displayed in amendment mode. Select Unlock operation from the Action List to amend the record.
  6. Amend the necessary information and click on Save to save the changes.

4.10.7 Authorizing Amended Adhoc Price Record

An amended Adhoc Price record must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module and Agency Branch module.

The subsequent process of authorization is the same as that for normal transactions.

4.10.8 Copying Attributes

If you want to create a new Adhoc Price record with the same attributes of an existing one, you can copy the attributes of an existing Adhoc Price record to a new one.

To copy the attributes:

  1. Retrieve the record whose attributes the new Adhoc Price record should inherit. You can retrieve the record through the Summary screen or through the F7-F8 operation explained in the previous sections of this chapter.
  2. Click on Copy
  3. Indicate the ID for the new Adhoc Price record. You can, however, change the details of the new record.

4.11 Pricing Preference Indication

This section contains the following topics:

4.11.1 Invoking Price Date Change Detail Screen

You may search for a record and indicate whether or not the Adhoc price entered for a transaction should be applied, in the ‘Price Date Change Maintenance Detail’ screen.

You can invoke the ‘Price Date Change Maintenance Detail’ screen by typing ‘UTDPRDTC’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button. The ‘Price Date Change Maintenance Detail’ screen is displayed. Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the new price date change.

You can search for a record using any of the following criteria:

When you click ‘Find’ button, records satisfying the search criteria that you have entered are displayed.

Note

Only Unallotted transactions will be displayed.

You will be able to view the following details for the records that are displayed:

You would have indicated the scheduled and adhoc price dates for a transaction. If, for a certain transaction, you would like to indicate the adhoc price should be used and not the scheduled price, check the box ‘Use Adhoc Pricing?’

Click ‘Ok’ button to save any information.

4.12 Price Date Change Summary Screen

This section contains the following topics:

4.12.1 Retrieving Record in Price Date Change Summary Screen

You can retrieve a previously entered record in the Summary Screen, as follows:

Invoke the summary screen and specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

Note

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

You can use the Summary screen for authorizing or deleting in bulk. Select the records and authorize using the ‘Authorize’ button or delete using ‘Delete’ button.

4.12.2 Editing Price Date Change Maintenance

You can modify the details of Price Date Change Maintenance that you have already entered into the system, provided it has not been subsequently authorized. You can perform this operation as follows:

  1. Invoke the Price Date Change Maintenance Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for modification in the Authorized field. You can only modify records that are unauthorized. Accordingly, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields to retrieve the record that is to be modified.
  4. Click ‘Search’ button. All unauthorized records with the specified details are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to modify in the list of displayed records. The Price Date Change Maintenance Detail screen is displayed.
  6. Select Unlock Operation from the Action list to modify the record. Modify the necessary information.
  7. Click Save to save your changes. The Price Date Change Maintenance Detail screen is closed and the changes made are reflected in the Price Date Change Maintenance Summary screen.

4.12.3 Viewing Price Date Change Maintenance

To view a record that you have previously input, you must retrieve the same in the Price Date Change Maintenance Summary screen as follows:

  1. Invoke the Price Date Change Maintenance Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for viewing in the Authorized field. You can also view all records that are either unauthorized or authorized only, by choosing the Unauthorized/ Authorized option.
  3. Specify any or all of the details of the record in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to view in the list of displayed records. The Price Date Change Maintenance Detail screen is displayed in View mode.

4.12.4 Deleting Price Date Change Maintenance

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

  1. Invoke the Price Date Change Maintenance Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for deletion.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to delete in the list of displayed records. The Price Date Change Maintenance Detail screen is displayed.
  6. Select Delete Operation from the Action list. The system prompts you to confirm the deletion and the record is physically deleted from the system database.

You can also delete in bulk by selecting the records you wish to delete and clicking the Delete All button.

4.12.5 Authorizing Price Date Change Maintenance

An unauthorized Price Date Change Maintenance must be authorized in the system for it to be processed. To authorize a record:

  1. Invoke the Price Date Change Maintenance Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. Typically, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Price Date Change Maintenance Detail screen is displayed. Select Authorize operation from the Action List.

You can also authorize in bulk by selecting the records that you wish to authorize and clicking on the Authorize button.

When a checker authorizes a record, details of validation, if any, that were overridden by the maker of the record during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the record.

4.12.6 Amending Price Date Change Maintenance

After a Price Date Change Maintenance is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

  1. Invoke the Price Date Change Maintenance Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. You can only amend authorized records.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’ button button. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Price Date Change Maintenance Detail screen is displayed in amendment mode. Select Unlock operation from the Action List to amend the record.
  6. Amend the necessary information and click on Save to save the changes.

4.12.7 Authorizing Amended Price Date Change Maintenance

An amended Price Date Change Maintenance must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module and Agency Branch module.

The subsequent process of authorization is the same as that for normal transactions.

4.12.8 Copying Attributes

If you want to create a new Price Date Change Maintenance with the same attributes of an existing maintenance, you can copy the attributes of an existing Price Date Change Maintenance to a new one.

To copy the attributes:

  1. Retrieve the record whose attributes the new Price Date Change Maintenance should inherit. You can retrieve the record through the Summary screen or through the F7-F8 operation explained in the previous sections of this chapter.
  2. Click on Copy.
  3. Indicate the ID for the new Price Date Change Maintenance. You can, however, change the details of the new maintenance.

4.13 Non Availability of Fund Price

This section contains the following topics:

4.13.1 Invoking the Fund Price Holiday Maintenance Detail Screen

You can indicate the non availability of a fund price in the ‘Fund Price Holiday Maintenance Detail’ screen.

You can invoke the ‘Fund Price Holiday Maintenance Detail’ screen by typing ‘UTDFPHOL’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button. The ‘Fund Price Holiday Maintenance Detail’ screen is displayed.

Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the holiday maintenance you wish to maintain for a fund price.

Enter the following information in this screen:

Fund Id

Select the Id of the fund for which you want to specify the day on which the price will not be available.

ISIN Code

The Fund ISIN of the fund you have chosen will be displayed. You could, alternatively, choose the ISIN Code and the corresponding Fund Id will be displayed.

Fund Price Holiday

Specify the date on which the fund price will not be available.

Note

You will not be allowed to enter the price of a fund on the application date if the same falls on a day when the fund price is not available (indicated in the field Fund Price Holiday). In such a case, you will be allowed to enter the fund price on the next working day even if it is a fund holiday.

Example

The application dates of Transaction A and Transaction B mapped to FundA are the 16th and 17th of December 2004, respectively. If the price of the fund is not available on both days, Fund Price Maintenance can be skipped. You will still be allowed to run EOD processes.

You can enter the prices applicable on the 16th and 17th on the 18th of December 2004 if available.

During allocation, the system will use the fund price entered against the 16th of December for Transaction A and the 17th of December for Transaction B.

Note

Bulk upload of fund prices will exclude all funds for which fund price is not available for the day. The price for these funds will be accepted on the next working day and the effec­tive date will be reflected as shown above.

The following batch processes will exclude all funds for which fund price is not available for the day:

4.14 Fund Price Holiday Maintenance Summary Screen

This section contains the following topics:

4.14.1 Retrieving a Fund Price Holiday Record

You can retrieve a previously entered record in the Summary Screen, as follows:

Invoke the Fund Price Holiday Maintenance Summary screen.  Specify any or   all of the following details in the corresponding fields:

Click 'Search' to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

  1. Press F7
  2. Input the Fund ID, Fund Price Holiday
  3. Press F8

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

You can retrieve a previously entered record in the Summary Screen, as follows:

In the Browser, select the Fund Price menu and click on Summary, specify any or   all of the following details in the corresponding fields:

Click ‘Search’ to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

  1. Press F7
  2. Input the Fund Id
  3. Press F8

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

For example:

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

4.14.2 Editing a Fund Price Holiday Record

You can modify the details of Fund Price Holiday record that you have already entered into the system, provided it has not subsequently authorized. You can perform this operation as follows:

  1. Invoke the Fund Price Holiday Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for modification in the Authorization Status field. You can only modify records that are unauthorized. Accordingly, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields to retrieve the record that is to be modified.
  4.  Click 'Search'. All unauthorized records with the specified details are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to modify in the list of displayed records. The Fund Price Holiday Maintenance Detail screen is displayed.
  6. Select Unlock Operation from the Action list to modify the record. Modify the necessary information.
  7. Click Save to save your changes. The Fund Price Holiday Detail screen is closed and the changes made are reflected in the Fund Price Holiday Summary screen.

You can modify the details of Fund Price record that you have already entered into the system, provided it has not subsequently authorized. You can perform this operation as follows:

  1. Invoke the Fund Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for modification in the Authorization Status field. You can only modify records that are unauthorized. Accordingly, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields to retrieve the record that is to be modified.
  4. Click ‘Search’. All unauthorized records with the specified details are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to modify in the list of displayed records. The Fund Price Detail screen is displayed.
  6. Select Unlock Operation from the Action list to modify the record. Modify the necessary information.
  7. Click Save to save your changes. The Fund Price Detail screen is closed and the changes made are reflected in the Fund Price Summary screen.

4.14.3 Viewing a Fund Price Holiday Record

To view a record that you have previously input, you must retrieve the same in the Fund Price Holiday Summary screen as follows:

  1. Invoke the Fund Price Holiday Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for viewing in the Authorization Status field. You can also view all records that are either unauthorized or authorized only, by choosing the Unauthorized/ Authorized option.
  3. Specify any or all of the details of the record in the corresponding fields on the screen.
  4. Click 'Search'. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to view in the list of displayed records. The Fund Price Holiday Detail screen is displayed in View mode.

To view a record that you have previously input, you must retrieve the same in the Fund Price Summary screen as follows:

  1. Invoke the Fund Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for viewing in the Authorization Status field. You can also view all records that are either unauthorized or authorized only, by choosing the Unauthorized/ Authorized option.
  3. Specify any or all of the details of the record in the corresponding fields on the screen.
  4. Click ‘Search’. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to view in the list of displayed records. The Fund Price Detail screen is displayed in View mode.

4.14.4 Deleting a Fund Price Holiday Record

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

  1. Invoke the Fund Price Holiday Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for deletion.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click 'Search'. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to delete in the list of displayed records. The Fund Price Holiday Detail screen is displayed.
  6. Select Delete Operation from the Action list. The system prompts you to confirm the deletion and the record is physically deleted from the system database.

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

  1. Invoke the Fund Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for deletion.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’. All records with the specified fields are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you want to delete in the list of displayed records. The Fund Price Detail screen is displayed.
  6. Select Delete Operation from the Action list. The system prompts you to confirm the deletion and the record is physically deleted from the system database.

4.14.5 Authorizing a Fund Price Holiday Record

An unauthorized Fund Price Holiday record must be authorized in the system for it to be processed. To authorize a record:

  1. Invoke the Fund Price Holiday Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. Typically, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click 'Search'. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Fund Price Detail screen is displayed. Select Authorize operation from the Action List.

When a checker authorizes a transaction, details of validation, if any, that were overridden by the maker of the transaction during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the transaction.

An unauthorized Fund Price record must be authorized in the system for it to be processed. To authorize a record:

  1. Invoke the Fund Price Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. Typically, choose the unauthorized option.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Fund Price Detail screen is displayed. Select Authorize operation from the Action List.

When a checker authorizes a transaction, details of validation, if any, that were overridden by the maker of the transaction during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the transaction.

4.14.6 Amending a Fund Price Holiday Record

After a Fund Price record is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

  1. Invoke the Fund Price Holiday Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. You can only amend authorized records.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click 'Search'. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Fund Price Holiday Maintenance Detail screen is displayed in amendment mode. Select Unlock operation from the Action List to amend the record.
  6. Amend the necessary information and click on Save to save the changes.

If an incorrect price has been entered in the Fund Price screen, for a particular date, the system allows you to make correction through an amendment operation. Through this, prices entered on any previous working day can be amended, if necessary, to make corrections.

Amendment of a fund price is only possible under the following circumstances:

Note

This feature is only available if your installation has specifically requested for it.

After a Fund Price record is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

  1. Invoke the Fund Price record Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. You can only amend authorized records.
  3. Specify any or all of the details in the corresponding fields on the screen.
  4. Click ‘Search’. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  5. Double click the record that you wish to authorize. The Fund Price Detail screen is displayed in amendment mode. Select Unlock operation from the Action List to amend the record.
  6. Amend the necessary information and click on Save to save the changes.

4.14.7 Authorizing an Amended Fund Price Record

An amended Fund Price Holiday record must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module and Agency Branch module.

The subsequent process of authorization is the same as that for normal transactions.

4.15 Fund CPMF Preferences

This section contains the following topics:

4.15.1 Invoking the Fund CPMF Screen

CPMF tax is deducted by the some banks and the money is transferred from current/savings account to the investment account.

For a few selected investment products such as funds or term deposits the bank could decide to return a part of the CPMF Tax that has been deducted as an incentive for having invested. This is referred to as CPMF Bonus.

Invoke the ‘Fund CPMF Detail’ screen by typing ‘UTDFCPMF’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button. The ‘Fund CPMF Detail’ screen is displayed.

Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of CPMF preferences for the fund.

Fund Details

Fund ID

Alphanumeric; Mandatory

Select the ID for the fund for which the CPMF rule is applicable.

Fund Identification Number

Select the ISIN code of the fund for which the CPMF rule is applicable.

CPMF Details Section

CPMF Bonus Applicable

Mandatory

Check this box if the CPMF bonus is applicable to investment made in this fund.

Default CPMF

Bonus Percentage Value

Numeric; Mandatory

Specify the default percentage value of the CPMF bonus. In case the CPMF bonus type is fixed, this value will be the value used and it can not be changed.

CPMF Bonus Type

Mandatory

Select the type of CPMF Bonus, the options being:

If the type selected is fixed then no changes can be made to the bonus at the transaction level.

Lag Basis

Mandatory

Select the lag basis from the drop down provided, the options being;

Lag for CPMF Bonus Credit

Numeric; Mandatory

If Lag basis is transaction date or trigger based, lag will not be captured. If Lag basis is user defined, then the 'Lag for CPMF Bonus Credit' will be captured.

Credit Bonus on Outflow

Mandatory

Check this option to ensure that the CPMF credit takes place even if the subscribed units have been redeemed partially or fully.

IRRF Load for CPMF

Alphanumeric; Optional

Indicate the IRRF load to be applied to the CPMF bonus, in which case the net amount will be credited to the investor after taking into consideration the tax amount.

Minimum Transaction Amount

Numeric; Mandatory

Specify the minimum amount that is required to be available for the CPMF bonus to be considered, in case the application amount is less than the amount specified here the bonus will not be calculated.

Note

The minimum transaction amount should be specified in the fund base currency.

Available Account Types

All the available account types will be displayed here for selection.

Applicable Account Types

Select the account types from the list of available account types for which the CPMF bonus will be applicable.

4.16 Fund CPMF Summary Screen

This section contains the following topics:

4.16.1 Retrieving Record in Fund CPMF Summary Screen

You can retrieve a previously entered record in the Summary Screen, as follows:

Specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

Note

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

4.16.2 Editing Fund CPMF Record

You can modify the details of Fund CPMF record that you have already entered into the system, provided it has not been subsequently authorized. You can perform this operation as follows:

4.16.3 Viewing Fund CPMF Record

To view a record that you have previously input, you must retrieve the same in the Fund CPMF Summary screen as follows:

4.16.4 Deleting Fund CPMF Record

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

4.16.5 Authorizing Fund CPMF Record

An unauthorized Fund CPMF record must be authorized in the system for it to be processed. To authorize a record:

When a checker authorizes a transaction, details of validation, if any, that were overridden by the maker of the transaction during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the transaction.

4.16.6 Amending Fund CPMF Record

After a Fund CPMF record is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

4.16.7 Authorizing Amended Fund CPMF Record

An amended Fund CPMF record must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module and Agency Branch module.

The subsequent process of authorization is the same as that for normal transactions.

4.16.8 Copying Attributes

If you want to create a new Fund CPMF record with the same attributes of an existing maintenance, you can copy the attributes of an existing Fund CPMF record to a new one.

To copy the attributes:

4.17 Fund Account Set Up

This section contains the following topics:

4.17.1 Invoking Fund Account Maintenance Screen

Each of the funds floated by the AMC must maintain bank accounts that operate in the fund base currency and any or all of the fund transaction currencies. These fund accounts can be maintained through the Fund Account Maintenance screen.

You can capture multiple bank accounts for a fund in the same currency; however, a default fund account must be designated for a particular currency. You can also specify the account categories for each bank details.

To set up the bank accounts for a fund, use the ‘Fund Account Input’ screen. You can invoke this screen by typing ‘UTDFNDAC’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button. The ‘Fund Account Input’ screen is displayed.

Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the new fund account you wish to maintain.

Before you set up a fund account for a fund, it is desirable to ensure that the following information is already setup in the system:

You can specify the following fields in this screen:

Fund ID

6 Character Maximum, Alphanumeric, Mandatory

Select the fund for which the fund account is to be set up, from the drop down list. This list contains the names of all the authorized funds in the system.

When you select the fund, the Fund Base Currency is picked up from the Fund Demographics profile for the selected fund and displayed in the Fund Base Currency field.

Fund Identification Number

12 Characters Maximum; Alphanumeric; Mandatory

Specify the fund identification number. The adjoining option list displays all valid fund id codes maintained in the system. You can choose the appropriate one.

Fund Base Currency

The currency in which the fund is denominated is defaulted here.

Maintaining Bank Details

Bank Code

Alphanumeric, Mandatory

Select the name of the bank where the account is to be set up, from the drop down list.

Branch Code

Alphanumeric, Mandatory

Select the name of the branch of the bank where the account is to be set up, from the drop down list. When you select the bank name, the branches that have been set up for the selected bank are populated in the drop down list.

Account Number

20 Character Maximum, Alphanumeric, Mandatory

Enter the number of the account that will be operative for this fund.

IBAN

36 Characters Only; Alphanumeric; Optional

Specify the IBAN (International Bank Account Number) of the account holder.

Account Currency

Alphanumeric, Mandatory

Select the currency that the account is to operate in, from the drop down list provided. When the fund is selected, all the currencies that are permitted for the fund as transaction currencies are populated in this list, along with the fund base currency. This information is picked up from the Fund Demographics profile and the Fund Transaction Currency profile for the selected fund.

As mentioned earlier, multiple accounts can be set up for a Fund ID and an account currency. An account must be maintained for the Fund Base Currency, and if this is not done, the system prompts for this on usage of the Save option.

Account Name

Alphanumeric, Mandatory

Specify the name of the fund account that is being set up.

Close Account

1 Character Maximum, Mandatory

Check this box to indicate closure of this fund account. Account closure is only available in Edit Mode.

Direct Debit Applicable

1 Character Maximum, Optional

Check this box to indicate that direct debits are applicable for the account.

Account Category

Optional

From the drop down list, select the category to which the account belongs. The available options are:

Note

Only those accounts that operate in the fund base currency can be specified as an NPI-Trust account. For a given Fund ID and Fund Base Currency combination, only account can be maintained as NPI-Trust account.

Default Account

Optional

You must designate one default account for each currency, which would be deemed to be the default fund account in the selected currency, for the fund.

4.18 Fund Account Summary Screen

This section contains the following topics:

4.18.1 Retrieving Record in Fund Account Summary Screen

You can retrieve a previously entered record in the Summary Screen, as follows:

Specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

Note

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:

4.18.2 Editing Fund Account Record

You can modify the details of a Fund Account record that you have already entered into the system, provided it has not been subsequently authorized. You can perform this operation as follows:

4.18.3 Viewing Fund Account Record

To view a record that you have previously input, you must retrieve the same in the Fund Account Mapping Summary screen as follows:

4.18.4 Deleting Fund Account Record

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

4.18.5 Authorizing Fund Account Record

An unauthorized Fund Account record must be authorized in the system for it to be processed. To authorize a record:

When a checker authorizes a transaction, details of validation, if any, that were overridden by the maker of the transaction during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the transaction.

4.18.6 Amending Fund Account Record

After a Fund Account record is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

4.18.7 Authorizing Amended Fund Account Record

An amended Fund Account record must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module and Agency Branch module.

The subsequent process of authorization is the same as that for normal transactions.

4.18.8 Copying Attributes

If you want to create a new Fund Account record with the same attributes of an existing maintenance, you can copy the attributes of an existing Fund Account record to a new one.

To copy the attributes:

4.19 Funds to Products Mapping

This section contains the following topics:

4.19.1 Invoking the Product Fund Mapping Detail Screen

You can associate a share class fund with a non-taxable product. Invoke the ‘Product Fund Mapping Detail’ screen by typing ‘UTDPFMAP’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button. Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the mapping you wish for a particular product and fund.

After a share class fund has been mapped to a product, the mapping must be authorized for it to be effective.

Authorization of such a mapping can be done in the Product Fund Mapping screen itself. The mapping cannot be removed or deleted subsequently.

You can specify the following fields in this Screen

Product ID

Mandatory

Select the non-tax product to which the fund is mapped. This specification can be made only once for a fund, and once it is made, it cannot be reversed or deleted.

Fund ID

Alphanumeric, Mandatory

Select the share class fund that is to be mapped to a non-taxable product.

Fund Name

Upon selection of the fund id, the associated fund name gets displayed. However you are allowed to modify the same.

4.20 Wrap Fund Maintenance

This section contains the following topics:

4.20.1 Invoking Wrap Fund Maintenance

When an investor subscribes into a wrap fund, the investment is channelled into the underlying investment funds that are associated with the wrap fund.

In Oracle FLEXCUBE Investor Servicing, you can maintain details of wrap funds, with the underlying funds and the respective split percentages, using the ‘Wrap Fund Maintenance Detail’ screen. You can invoke this screen by typing ‘UTDWRFND’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button. Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the wrap fund you wish to maintain.

In this screen, any authorized fund in the system can be designated as a wrap fund, and any authorized funds in the system may be designated as underlying investment funds for the wrap fund. An effective date may also be specified for the wrap fund.

Note

You can maintain details of wrap funds in the system for information and reporting purpos­es only. No processing or validation in respect of the same is performed by the system when there is an investment into the fund or its underlying investment funds.

You can specify the following fields in this screen:

Wrap Fund ID

Alphanumeric, Mandatory

Select the ID of the wrap fund, from the drop down list. The list contains authorized funds in the system.

ISIN No

12 Characters Maximum; Alphanumeric; Mandatory

Select the ISIN Code of the wrap fund, from the drop down list. If you specify the ISIN Code, the ID of the fund is displayed in the Fund field.

Rule Effective Date

Date Format, Mandatory

Specify the date from which the fund is effective as a wrap fund in the system. This rule effective date is different from the effective date of the actual fund in the system, which is specified in the Fund Demographics profile for the fund.

Fund Investment Details

Fund ID

Alphanumeric, Mandatory

Select the ID of the underlying investment fund, from the drop down list. The list contains authorized funds in the system.

Split Percentage –

5 Characters Maximum, Numeric, with 8 decimal places

Specify the percentage limit for investment into the selected underlying fund. This percentage must not exceed one hundred percent.

4.21 Wrap Fund Summary Screen

This section contains the following topics:

4.21.1 Retrieving Record in Wrap Fund Summary screen

You can retrieve a previously entered record in the Summary Screen, as follows:

Specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

Note

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Wrap Fund by using the combination of % and alphanumeric value as follows:-

4.21.2 Editing Wrap Fund Record

You can modify the details of a Wrap Fund record that you have already entered into the system, provided it has not been subsequently authorized. You can perform this operation as follows:

4.21.3 Viewing Wrap Fund Record

To view a record that you have previously input, you must retrieve the same in the Wrap Fund Summary screen as follows:

4.21.4 Deleting Wrap Fund Record

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

4.21.5 Authorizing Wrap Fund Record

An unauthorized Wrap Fund must be authorized in the system for it to be processed. To authorize a record:

When a checker authorizes a transaction, details of validation, if any, that were over ridden by the maker of the transaction during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the transaction.

4.21.6 Amending Wrap Fund record

After a Wrap Fund record is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

4.21.7 Authorizing Amended Wrap Fund Record

An amended Wrap Fund record must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module and Agency Branch module.

The subsequent process of authorization is the same as that for normal transactions.

4.21.8 Copying Attributes

If you want to create a new Wrap Fund record with the same attributes of an existing maintenance, you can copy the attributes of an existing Wrap Fund record to a new one.

To copy the attributes:

4.22 Access Restrictions

This section contains the following topics:

4.22.1 Invoking FBC Access Restriction Screen

You can impose restrictions on funds when there is a necessity to control inflows into, outflows from or both with regard to the funds. For example, when you change a fund from an open-ended fund to a close–ended fund or when limits on investment in a fund have been breached, you will need to restrict further subscriptions to the fund.

You can impose restrictions on clients on the basis of the RPO (Restricted Post Office) Code. For example, in case of an investor who is deceased, you may allow redemptions only if his address is known. You can also restrict any further subscriptions to his account.

You can restrict the operations/setup for a fund, broker or a client to specific users. The restrictions and the list of specific users can be maintained through the ‘FBC Access Restriction Detail’ screen. You can invoke this screen by typing ‘UTDFAR’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the restrictions that you wish to maintain.

Note

You can specify the following fields in this screen:

Restriction Type

Mandatory

Specify the basis on which you wish to apply restrictions. The options are ‘Client’ and ‘Fund’.

Restriction

Mandatory

Choose ‘Yes’ if you want to apply restrictions. This prevents the users maintained in the list from performing the operation specified.

Choose ‘No’ if you do not want to apply restrictions. This ensures that only the users maintained in the list are allowed to perform the operation specified.

Fund Id

Character, Mandatory if Restriction Type is ‘Fund’

Specify the fund ID if you have opted for restriction type ‘Fund’.

Auto Auth

Mandatory

If you want the users maintained in the list to be able to authorize their own transactions, choose ‘Yes’. Else choose ‘No’.

If you choose ‘Yes’, this selection will take precedence over the Auto Auth maintained in the Security Maintenance System.

RPO Code

Character, Mandatory if Restriction Type is ‘Client’

Specify the RPO Code if you have opted for restriction type ‘Client’.

Apply to All Users

Mandatory

The option you choose here will define if all or only particular users can perform the operation that you have specified. Choose ‘No’ if you wish the restriction on operations to be applicable only to the users maintained in the list. Choose ‘Yes’ if you wish the restriction to be applicable to all users. In this case, there will be no users maintained in the list.

Operation

Character, Mandatory

Specify the operation (s) that you wish to restrict. The following are the operations that are allowed for client and fund restrictions:

Operation

Fund Level

Client Level

Subscriptions/ Policy Top Up

Allowed

Allowed

Redemption/ Surrenders

Allowed

Allowed

Subscription SI

Allowed

Allowed

Recurring Premiums

Allowed

Allowed

Redemption SI

Allowed

Allowed

Recurring Annuities

Allowed

Allowed

Switch Out

Allowed

Allowed

Switch In

Allowed

Allowed

Transfers

Allowed

Allowed

View UH profile & Portfolio View

Not Allowed

Allowed

Update of the profile

Not Allowed

Allowed

Correspondence

Not Allowed

Allowed

User Details Section

User Id

Conditional

List all the users that are allowed or disallowed to perform the operation that you have chosen.

User Name

Display Only

The system displays the corresponding Names for the User IDs that you select.

Example

Let us assume the following restriction parameters for a Fund:

Restriction Type

Restriction

Fund Id

RPO Code

Operation

Apply to All Users

User List

Fund

Yes

OMGR

 

Subscription

No

User 1 & User2

This implies that only User 1 and User 2 are not allowed to do subscription for the fund ‘OMGR’.

Let us assume the following restriction parameters for a Client:

Case

Restriction Type

Restriction

Fund Id

RPO Code

Operation

Apply to All Users

User List

Case 1

Client

Yes

 

UNKNOWN ADDR

Redemptions

Yes

 

Case 2

Client

No

 

OVER­PAID

View UH Pro­file &Portfo­lio View

No

User3

In Case 1, no user is allowed to do redemptions for investors whose RPO Code has been specified as ‘UNKNOWN ADDR’.

In Case 2, only User 3 will be allowed to do the ‘Unit Holder View’ and ‘Portfolio View’ operations for clients with RPO Code as ‘OVERPAID’.

4.23 FBC Access Restriction Summary Screen

You can specify the following operations in this field:

4.23.1 Retrieving Record in FBC Access Restriction Summary screen

You can perform the following operations in the ‘FBC Access Restriction Summary’ screen:

You can retrieve a previously entered record in the Summary Screen, as follows:

Specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

  1. Press F7.
  2. Input the Fund ID.
  3. Press F8.

You can perform Edit, Delete, Amend, Authorize operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

4.23.2 Editing FBC Access Restriction

You can modify the details of an FBC Access Restriction that you have already entered into the system, provided it has not been subsequently authorized. You can perform this operation as follows:

4.23.3 Viewing FBC Access Restriction

To view a record that you have previously input, you must retrieve the same in the FBC Access Restriction Summary screen as follows:

4.23.4 Deleting FBC Access Restriction

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

4.23.5 Authorizing FBC Access Restriction

An unauthorized FBC Access Restriction must be authorized in the system for it to be processed. To authorize a record:

4.23.6 Amending FBC Access Restriction

After an FBC Access Restriction is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

4.23.7 Authorizing Amended FBC Access Restriction

An amended FBC Access Restriction must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module.

The subsequent process of authorization is the same as that for normal records.

4.23.8 Copying Attributes

If you want to create a new FBC Access Restriction with the same attributes of an existing maintenance, you can copy the attributes of an existing FBC Access Restriction to a new one.

To copy the attributes:

4.24 Corporate Actions for Fund

This section contains the following topics:

4.24.1 Types of Corporate Actions

The holdings of investors in a fund are affected by corporate actions that are declared and processed in respect of the fund such as liquidations, mergers, splits, reverse splits, dividends, capital payouts, side pocket creations, side pocket mergers and so on.

These corporate actions are discussed below:

Liquidation

This corporate action simply means the liquidation of the entire corpus of the fund on a date decided by the fund. The proceeds of such liquidation are paid out to the investors. The date of liquidation is intimated to the investors in advance, so that they may redeem their holdings, prior to the liquidation date, if so desired.

Split and Reverse Split

The split corporate action involves the splitting of unit balances of a ‘parent’ fund into a ‘child’ fund. It results in an increase in the total outstanding holdings in the fund. However, both the par value and the price per unit decrease, according to the split ratio.

The reverse split corporate action results in a decrease in the total outstanding holdings in the fund. However, both the par value and the price per unit increase, according to the split ratio.

The split or reverse split ratio could result in fractional balances in the new fund, and in the event of the AMC not allowing such fractional balances, the fractions are redeemed and the proceeds paid out to the unit holders.

Merger

A merger involves the merging of unit balances from one or more parent funds into a resultant fund. It can be put through either according to a predetermined user –input ratio or a system-derived ratio of parent fund(s) to the resultant fund

If you wish the system to derive the merger ratio, you should specify the fund(s) being merged (Parent Fund) and the fund into which the merger is happening (Resultant Fund). The system will derive the merger ratio based on the available net asset values of the specified funds.

The merger ratio could result in fractional balances in the new fund, and in the event of the AMC not allowing such fractional balances, the fractions are redeemed and the proceeds paid out to the unit holders.

Capital Payout

A capital payout liquidates a preset percentage of unit balances due to transactions in a fund, the proceeds of which are paid out the corresponding unit holders with balances in the fund due to the transactions.

The percentage of balances liquidated, could include units as of the price date of the transaction (all units), transaction date (all or confirmed units) or allocation date (all or confirmed units).

Oracle FLEXCUBE Investor Servicing provides the facility of maintaining the corporate actions mentioned above and processing them in respect of a fund.

Side Pocket Creation

Side pockets are special type of accounts used in hedge funds to separate illiquid assets from other more liquid investments. Once an investment enters a side pocket account, only the present participants in the hedge fund will be entitled to a share of it. Future investors will not receive a share of the proceeds in the event the asset's returns get realized.

During side pocket creation, percentage-wise redemption transactions are generated for all unit holders, based on the split percentage specified in the corporate action. Unit-wise subscription transactions, equal to units redeemed from the main fund, are generated for side pocket fund.

Side Pocket Merger

During side pocket mergers, 100% redemption happens in the side pocket fund. Subscription transactions, equivalent to the side pocket redemption units, are generated for the main fund.

Series Fund Merger

During ‘Series Fund Merger’, the fund series that are maintained separately in the system are consolidated at period end.

Note

After merger process you need to manually disable the follow-up fund series.

4.24.2 Invoking Corporate Actions Maintenance Screen

You can maintain details for corporate actions in the ‘Corporate Actions Maintenance Detail’ screen. You can invoke this screen by typing ‘UTDCOACT’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button. The ‘Corporate Actions Maintenance Detail’ screen is displayed.

Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the relevant corporate action.

You can specify the following fields in this screen:

Basic Information Section

Corporate Action Type

Mandatory

From the drop down list, select the type of corporate action for which you are maintaining the processing parameters, in this screen. The types available are liquidation, split, reverse split and merger.

Corporation Action Date

Date, Mandatory

Specify the date on which the corporate action falls due for processing. This must be the same as the current date, or a future date. The implications for the fund in each case are as follows:

Corporate Action Status

Display

The status of the corporate action is displayed in this field.

When you enter a new record, it is marked with the ‘Active’ or ‘Unprocessed’ status. After authorization, the corporate action record can be cancelled through an amendment, before it is processed. In such a case, it acquires the ‘Cancelled’ status.

After the corporate action has been processed, it acquires the ‘Processed’ status.

Fund Information Section

Fund ID

6 Character Maximum, Alphanumeric, Mandatory

Select the fund for which you are maintaining a corporate action, from the drop down list. This list contains the names of all the authorized funds in the system.

When you select the fund, the Fund Base Currency is picked up from the Fund Demographics profile for the selected fund and displayed in the Fund Base Currency field.

In the case of liquidation, specify the ID of the fund being liquidated. For splits and reverse splits, specify the ID of the child fund. In the case of mergers, you must specify the ID of the resultant fund in this field.

ISIN Code

12 Characters Maximum; Alphanumeric; Mandatory

Select the ISIN Code of the fund for which you are maintaining a corporate action, from the options provided. If you specify the ISIN Code of a fund, the ID of the fund is displayed in the Fund field.

In the case of liquidation, specify the ISIN Code of the fund being liquidated. For splits and reverse splits, specify the ISIN Code of the child fund. In the case of mergers, you must specify the ISIN Code of the resultant fund in this field.

Price Information Section

Last Price Date

Date, Optional

Specify the last pricing date which should be greater than or equal to the current system date.

Liquidation Price

Numeric; Mandatory for Liquidation

For liquidation, specify the price at which the selected fund is to be liquidated. It is the value at which units are redeemed for liquidation.

Lot Size

Numeric; Mandatory for Liquidation

Specify the lots for liquidation. By default, the lot is considered to be one. You can alter this and specify the applicable lot size. The liquidation price per lot is computed by the system based on the liquidation price and the lot size you specify.

Liquidation Price / Lot

The liquidation price per lot is computed by the system based on the liquidation price and the lot size you specify.

Fractions Allowed?

In this field, you can specify if fractional balances (as a result of processing the corporate action) are allowable, for the fund. Check the box to indicate that fractional balances are allowed, or leave it unchecked to indicate that fractional balances are not allowed.

If not allowed, the resulting fractions are redeemed and the proceeds paid out to the unit holders.

By default, this box is unchecked, i.e., fractional balances are allowed. You can change this if necessary and check the box, to indicate that fractional balances are not allowed.

New Unit Par Value

Numeric; Mandatory for Split, Reverse Split and Merger

Specify the new par value for units in the new or existing (resultant) fund, to be applicable after the corporate action has been processed.

For Split and Reverse Split actions, the System computes the new par value, and displays the same in this field. You can change this computed value and specify the desired value, if required.

No. of Decimals

Numeric; Mandatory if fractions are allowed

By default, the number of decimals allowed is zero. If you indicate that fractional balances are allowed, the number of decimals specified for the fund in the Corporate Actions fund rule profile, are applicable.

Other Information Section

Holiday Rule

Alphanumeric; Mandatory

Specify whether the corporate action date must be moved forward (after) or backward (prior) in case it falls on a system, fund or AMC holiday.

Payment Lag(Days)

Mandatory for Liquidation

Specify the payment lag to be applicable for liquidation.

Threshold Amount

Numeric; Mandatory

Specify the threshold amount for processing of the corporate action.

Auto Initiation?

You can use this field to indicate whether the corporate action must be executed manually or automatically. Check this box to indicate automatic execution; leave it unchecked to indicate manual execution.

If automatic execution is indicated, the Beginning of Day processes execute the corporate action on the corporate action date. If manual execution is indicated, then you can manually trigger the execution on the corporate action date, through the Corporate Action Processing screen.

By default, this box is unchecked, i.e., automatic initiation is not indicated. You can change this if necessary and check the box, to indicate automatic initiation.

Book Closing From and To Date

Date, Optional

Specify the book closing dates, between which transactions into the fund are suspended, for processing the corporate action. The corporate action date must fall within the book-closing period.

Exchange Rate Source

Alphanumeric; Mandatory

Specify the exchange rate source from which the exchange rate would be derived for processing the corporate action, for conversion from fund base currency to unit holder preferred currency.

By default, the first source entry in the list is deemed to be the exchange rate source. You can change this and specify the requisite source by choosing from the list.

Exchange Rate Date

Date Format; Mandatory

Specify the date, the exchange rate prevalent on which, would be used for processing the corporate action, for conversion from fund base currency to unit holder preferred currency.

By default, it is considered to be the same as the corporate action date. You can change this and specify the requisite date.

Units for Corporate Action

In this field, you can indicate if holdings for the corporate action are to be considered based on:

The following table depicts the possibilities for each corporate action:

Corporate action type

Basis for holdings

Remarks

Liquidation

Allocation date

All available holdings must be liquidated as the fund would cease to exist subsequent to the corporate action.

Split / Reverse split with ISIN change

Allocation date

All available holdings must be processed for split / reverse split as the fund would cease to exist subsequent to the corporate action.

Split/ Reverse split with no ISIN change

Transaction date
Price date
Allocation date

Basis could be either of the options available. The processing logic is similar to dividend freeze holdings

Merge

Allocation date

All available holdings must be processed for merge as the underlying funds would cease to exist subsequent to the corporate action.

Capital Payout

Transaction date

Price date

Allocation date

Basis could be either of the options available. The processing logic is similar to dividend freeze holdings

Capital Payout Rate (%)

Percentage, Mandatory for Capital Payouts

For capital payouts, specify the percentage of units in the fund that are to be liquidated as a result of processing the payout.

Payment Currency

Alphanumeric; Mandatory

Specify whether the capital payout amount is paid in the default currency of the unit holders or the base currency of the fund in respect of which the payout is being processed.

Include Prior Capital Redeemed Units

Optional

Specify whether prior capital redeemed units are to be redeemed as a result of the capital payout.

Update IDS

Optional

If you choose this option, the system updates the income distribution setup of the parent Fund Id with that of the resultant Fund Id. For a successful update, you should choose ‘No’ for the ‘Restrict IDS for the Unit Holder’ option for the resultant Fund Id in the Corporate Actions screen in Fund Rules Maintenance

Update SI

Optional

If you choose this option, the system changes the Fund Id of the following from the parent Fund Id to the resultant Fund Id:

Examples

Fields in Split / Reverse Split / Merger Details screens

Fund ID

6 Character Maximum, Alphanumeric, Mandatory

Select the parent fund for the corporate action, from the drop down list. This list contains the names of all the authorized funds in the system.

In the case of mergers, you can specify more than one parent fund. Click on the Add link to add a row.

ISIN Code

12 Characters Maximum; Alphanumeric; Mandatory

Select the ISIN Code of the parent fund for the corporate action, from the options provided. If you specify the ISIN Code of a fund, the ID of the fund is displayed in the Fund field.

In the case of mergers, you can specify more than one parent fund. Click on the Add link to add a row.

Split Parent Ratio

Numeric; Mandatory

Enter the split parent ratio. The parent ratio must be less than the resultant (child) ratio.

Split Resultant Ratio

Numeric; Mandatory

Enter the split resultant ratio The parent ratio must be less than the resultant (child) ratio.

Note

For splits and mergers, the parent ratio must not be greater than the child ratio. For re­verse splits, the parent ratio must be greater than the child ratio. The ratios you specify cannot be equal to or fall below zero.

4.24.2.1 Maintaining Details for Liquidation

For fund liquidations, you must maintain the details mentioned below in the ‘Corporate Actions Maintenance Detail‘ screen. Select the ‘Liquidation’ option in the Corporate Action Type field.

4.24.2.2 Maintaining Details for Split

For fund splits, you must maintain the details mentioned below in the Corporate Actions Maintenance screen. Select the ‘Split’ option in the Corporate Action Type field.

4.24.2.3 Maintaining Details for Reverse Split

The details you maintain for reverse split corporate actions are similar in every way to those you maintain for a split. However, when you specify the parent – resultant ratio, the parent ratio must exceed the resultant (child) ratio, in the Reverse Split Details screen.

4.24.2.4 Maintaining Details for Mergers

For fund mergers, select the ‘Merger’ option in the Corporate Action Type field.

You need to maintain the following details in the Corporate Actions Maintenance screen:

The parent – resultant ratio for the merger the parent ratio can either be less than or greater than the resultant ratio.

4.24.2.5 Maintaining Details for Capital Payout

For capital payouts, you must maintain the details mentioned below in the Corporate Actions Maintenance screen. Select the ‘Capital Payout’ option in the Corporate Action Type field.

4.24.2.6 Maintaining Details for Side Pocket Creation

For side pocket creation, you must maintain related details in the Corporate Actions Maintenance screen. Select the ‘Side Pocket Creation’ option in the Corporate Action Type field.

4.24.2.7 Maintaining Details for Investor Category Map

You can maintain investor category map information in the Inv Category Map Tab:

Restricted Investor Category

Specify the category of the restricted investor. The adjoining option list displays valid investor category codes and their names as maintained in the system. You can choose the appropriate one.

4.24.2.8 Maintaining Fund Copy Details

Click on the fund copy tab to maintain details for fund copy.

From Fund Details

Fund Id

Select the fund ID whose attributes you want to copy.

ISIN Code

Specify the ISIN code.

New fund Details

Fund ID

Indicate the ID for the new fund.

Fund Name

Specify a name for the fund here.

Fund Short Name

You can specify a short name for the fund.

Fund Tax ID

You can specify the fund tax ID for the new fund here.

ISIN Code

Indicate the ISIN code for the new fund ID here.

Fund Ticker Symbol

You can enter the ticker symbol for the fund.

Create Fund as an

Click on Create Fund to create the new fund with the parameters specified.

After entering the above details, click create fund button. You will be shown the following confirmation message:

4.24.2.9 Maintaining Details for Side Pocket Merger

For side pocket merger, you must maintain related details in the Corporate Actions Maintenance screen. Select the ‘Side Pocket Merger’ option in the Corporate Action Type field.

You can perform merger of side pockets with the main fund by following the instructions specified below:

After merger, you need to manually disable the side pocket funds.

The example given below illustrates the merger of a side pocket fund:

Example:

Assume that JPMORG is a Hedge Fund and SIDEP1 is a side pocket of JPMORG. The current holdings of all unit holders are as below:

Unit holder ID

Units

UH1

1000

UH2

1500

UH3

2000

UH4

2500

Side Pocket Creation: Split Ratio 0.1

Units in JPMORG

Unit holder ID

Units

UH1

900

UH2

1350

UH3

1800

UH4

2250

Units in SIDEP1

Unit holder ID

Units

UH1

100

UH2

150

UH3

200

UH4

250

Side Pocket Merger: Merger Ratio .05

Units in JPMORG (before merger)

Unit holder ID

Units

UH1

900

UH2

1350

UH3

1800

UH4

2250

UH5

1000

UH6

2000

Units in JPMORG (after merger)

Unit holder ID

Units

UH1

905

UH2

1357.5

UH3

1810

UH4

2262.5

UH5

1000

UH6

2000

SIDEP1 fund will be disabled after merger process. There will not be any change in units of the new unit holders who subscribed in JPMORG after side pocket creation.

4.24.2.10 Maintaining Details for Series Fund Merger

During series fund merger, the fund series that are maintained separately in the system are consolidated at period end. For series fund merger, you must maintain related details in the Corporate Actions Maintenance screen. Select the ‘Series Fund Merger’ option in the Corporate Action Type field.

The example given below illustrates the corporate action ‘Series Fund Merger’

Example

Assume that Investor A purchases 1,000 units at the launch of the fund GFUND1, at US$1,000 per unit (HWM of GFUND1). This will be the "Lead Series" of Unit. It is also assumed that the incentive fees are being paid quarterly and HWM of fund is Greater of Subscription Price and Previous high water mark.

Also, assume that at the end of the first month the Gross NAV ("GNAV") (the NAV before deduction of incentive fee) for GFUND1 has risen to US$1,100 and therefore the NAV will be US$1,080, net of US$20 / 20% incentive fee (Assuming performance fee is 20%).

After the first pricing period, you need to create one more fund, say ‘GFUND2’, with NAV same as Lead Series. Assume that at this time Investor B subscribes US$1 million for 1,000 Unit (Series II) at, again US$1,000 (HWM of GFUND2) each.

At the end of second month, assuming that value of fund has risen by further 10%:

After second pricing period, you need to create one more fund with NAV same as Lead Series. Let’s say user create ‘GFUND3’ for creation of Series III as below,

Investor C subscribes US$1 million for 1,000 Series III Unit at, again US$1,000 (HWM of GFUND3) each.

At the end of the third month, the GNAV has yet again risen by a further 10%, so that:

Thus, at the end of the first quarter, as a High Water-Mark ("HWM") has been reached and each of the Series of Unit have paid incentive fees, the Series II and Series III Unit can now be consolidated into the Lead Series.

This can be archived by using Corporate Action screen, by choosing the ‘Series Fund Merger’ option to merge GFUND2 (Series II) and GFUND3 (Series III) into GFNUD1 (Lead Series) as below,

Therefore, Investor B's units are worth US$1,168.00, which equates to 923.466 units at the NAV per Lead Series, at US$1,264.80 each.

Investor C will effectively liquidate his 1,000 Unit of US$1,080,000 and invest the proceeds of that liquidation into the Lead Series at US$1,264.80 per share, to receive 853.890 Lead Series Unit.

4.25 Corporate Actions Summary Screen

This section contains the following topics:

4.25.1 Retrieving Record in Corporate Actions Summary screen

You can retrieve a previously entered record in the Summary Screen, as follows:

Specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

  1. Press F7.
  2. Input Corporate Action Type.
  3. Input Corporate Action Date.
  4. Input the Fund Id.
  5. Press F8.

You can perform Edit, Delete, Amend, Authorize operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

4.25.2 Editing Corporate Actions Record

You can modify the details of a Corporate Actions record that you have already entered into the system, provided it has not been subsequently authorized. You can perform this operation as follows:

4.25.3 Viewing Corporate Actions Record

To view a record that you have previously input, you must retrieve the same in the Corporate Actions Summary screen as follows:

4.25.4 Deleting Corporate Actions Record

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

4.25.5 Authorizing Corporate Actions Record

An unauthorized Corporate Actions record must be authorized in the system for it to be processed. To authorize a record:

When a checker authorizes a transaction, details of validation, if any, that were overridden by the maker of the transaction during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the transaction.

When you authorize a corporate action, you must re-key the liquidation price (for liquidations) or the parent – resultant ratio (for splits, reverse splits and mergers)

4.25.6 Amending Corporate Actions Record

After a Corporate Actions record is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

When you amend an authorized corporate action after it has been processed, you can only alter the liquidation price, lot size and book closing period (for liquidations) or the new unit par value, book closing period and parent – resultant ratio (for splits, reverse splits and mergers). The original corporate action is marked ‘cancelled’, and a new record is created, with a link to the original action record. Also, the book closing dates can be entered if required.

The exchange rate details, such as the rate source and rate date, can be amended provided the corporate action has not been processed.

When you amend an authorized corporate action before it has been processed, the amendment operation is similar to an edit operation. All the validations performed by the system when a new corporate actions record is initiated, are applicable. In this mode, the corporate action can also be marked as ‘cancelled’, in which case it will not be processed.

4.25.7 Authorizing Amended Corporate Actions Record

An amended Corporate Actions record must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module and Agency Branch module.

The subsequent process of authorization is the same as that for normal records.

4.25.8 Reversing Corporate Action

When you reverse a corporate action that has been processed, the original action record is marked as ‘cancelled’, and the reversal is processed either by the Beginning of Day process (if designated as automatic) or manually, through the Corporate Action Processing screen.

In case of reversal or amendment of a corporate action after original processing, a reversal transaction is generated for all the transactions for the day with reference types indicating Split/ Reverse Split/ Merger/ Rollback/ Capital Payout.

4.25.9 Copying Attributes

If you want to create a new Corporate Actions record with the same attributes of an existing maintenance, you can copy the attributes of an existing Corporate Actions record to a new one.

To copy the attributes:

4.26 Corporate Actions Processing

This section contains the following topics:

4.26.1 Processing Corporate Actions

Automatic and Manual Execution

After a corporate action maintained in the Corporate Action Maintenance screen is authorized, it is ready for processing. If the initiation of the corporate action process is designated to be automatic, it is executed by the Beginning of Day processes on the corporate action date.

If automatic execution is not designated, the corporate action must be manually executed. You can use the Corporate Action Processing screen to manually execute the corporate action.

Pre-Processing for Corporate Actions

The system performs pre-processing validations before a corporate action can be processed. For automatic execution, the Beginning of Day processes perform the validations.

4.26.2 Invoking Corporate Action Screen for Pre-Processing

The system performs pre-processing validations before a corporate action can be processed. For automatic execution, the Beginning of Day processes perform the validations. For manual execution, you can trigger the pre-processing validations, using the ‘Corporate Actions (Fund)’ screen.

You can invoke this screen by typing ‘UTDCORAC’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

In this screen, you can trigger the pre-processing validations for corporate actions that fall due either on the current date or on the next working day.

Click the ‘Fetch Corporate Action’ button to submit the background job that performs the validations, and then click on the View Corporate Action Results button to display the results in the list portion of the screen. The following details are displayed for each check:

Click on the Details button, the Corporate Actions Online Check Details screen is opened

In the Corporate Actions Online Check Details screen you can view information on the following:

For more information about the pre-processing validations, refer the section titled ‘Pre-

processing Validations’ in this chapter.

4.26.3 Executing Corporate Actions Manually

To recall, you can manually execute a corporate action on the corporate action date, in the Corporate Action Processing screen. You can invoke the ‘Corporate Actions (Fund) screen by typing ‘UTDCOAC’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

In this screen, specify the corporate action type you wish to manually execute and the ID and ISIN of the fund (resultant fund in the case mergers, and the source funds in case of split and reverse splits), and click ‘Ok’ button.

The details of the corporate actions falling due on the current date, which are either in ‘unprocessed’ or ‘error’ status, for the selected fund, are displayed in the list portion of the screen.

To trigger the pre-processing validations before you execute the corporate action, click on the Online Check button. You can click on the ‘Execute’ button to actually execute the corporate action.

4.26.4 Pre-processing Validations

Unauthorized fund-related static maintenances

This check reports the unauthorized fund-related static maintenances, with respect to any of the maintenances mentioned below. It is a mandatory check and processing cannot continue till the check is successful.

Broker Commission Processing

This check reports any pending commission (commission accrued but not adjusted). It is an optional check; the information is for reporting only, and will not block further processing of the corporate action.

Pending Transactions

This check reports transactions pending processing at any stage of the transaction life cycle, such as the following:

All such transactions must be either allotted and settled, or, alternately, reversed. Alternately, they would need to be reversed. Limit orders must be reversed; if not, processing of the corporate action marks these as ‘EXPIRED’. All SWIFT transactions must also be processed or deleted.

This is a mandatory check and processing cannot continue till the check is successful.

Unprocessed dividend or reinvestments

This check reports unprocessed dividend or reinvestments, which would include dividends declared but not processed, so that appropriate action can be taken. It is an optional check; the information is for reporting only, and will not block further processing of the corporate action.

Trailing Commission

This check reports any accrued trail commission (trail commission for the period between the last processed date to the corporate action date), so that it can be cleared manually. The load id of the trailing commission is reported. It is an optional check; the information is for reporting only, and will not block further processing of the corporate action.

Standing Instructions

This check reports the following:

This is a mandatory check and must be successful for processing of the corporate action to continue.

Unconfirmed redemption transactions

This check reports the number of redemption transactions for which confirmations are due. It is a mandatory check and must be successful for processing of the corporate action to continue.

Funds that do not retain ageing to subscription

For a corporate action triggered from an existing ISIN to a different ISIN, the ageing of units is based on the parameter ‘Retain Ageing to Subscription’ set in the Transaction Processing Rules for the fund. If this parameter is not indicated as true for the resultant fund for the ‘Switch In’ transaction type, a warning is displayed.

Funds those are not active for corporate action processing

For a corporate action triggered from an existing ISIN to a different ISIN, the system checks that the resultant ISIN is effective as of the corporate action date. If not, an appropriate message is displayed. This is a mandatory check and must be successful for processing of the corporate action to continue.

Number of special deals for the fund

If any unit holder deals exist for the fund, a warning is displayed. This is an optional check.

Number of Letters of Intent (LOI) for the fund

If any Letters of Intent (LOI) exists for the fund, a warning is displayed. This is an optional check.

Number of Income Distribution Setups (IDS) in the fund

This check reports the number of reinvestments set up into the fund. This is an optional check.

Number of Interface Definitions to which the fund belongs

If the fund belongs to any of the parameters defined for any interface definition in the system, a warning is displayed. This is an optional check.

Number of jobs to which the fund belongs

If the fund belongs to any one or many of the job parameters defined for any job definition in the system, a warning is displayed. This is an optional check.

Funds for which holding period is applicable

If a holding period has been designated as applicable for the fund, a warning is displayed. This is an optional check.

Funds with minimum registered capital greater than zero

If the minimum registered capital of the fund exceeds zero, an appropriate message is displayed. This is a mandatory check and processing of the corporate action cannot continue if it is unsuccessful.

Maintenance of Switch Out transaction type for the ‘From’ fund

For corporate actions involving different parent and resultant funds, the system checks that the Switch Out transaction type has been maintained and is allowable for the ‘From’ fund. This is a mandatory check and processing of the corporate action cannot continue if it is unsuccessful.

Maintenance of Switch In transaction type for the ‘To’ fund

For corporate actions involving different parent and resultant funds, the system checks that the Switch In transaction type has been maintained and is allowable for the ‘To’ fund. This is a mandatory check and processing of the corporate action cannot continue if it is unsuccessful.

Funds for which fractional balances are not allowed, with rounding rules other than ‘truncate’

In case fractional units need to be paid out in the resulting fund, the system checks that the rounding options in the General Operating Rules must be set to ‘truncate’. If this has not been set for the resultant fund for the Switch In transaction type, an appropriate warning message is displayed. This is a mandatory check and processing of the corporate action cannot continue if it is unsuccessful.

4.26.5 Messages for Pre-processing Checks

According to the checks listed above, the appropriate messages that would be displayed as a result of performing the pre-processing checks are shown in the table below. A severity level of ‘Warning’ indicates an optional check, which would not impede the processing of the corporate action if the check fails. A severity level of ‘Critical’ indicates a mandatory check, which must succeed in order to continue with the processing of the corporate action.

Message

Severity

Unauthorized Fund

Critical

Unauthorized Fund Price

Critical

Unauthorized Fund Dividend record

Critical

Unauthorized Fund Account

Critical

Unauthorized Fund Agency Branch Backdating Limit Setup

Critical

Unauthorized Fund Sub Account record

Critical

Unauthorized Fund GL record

Critical

Unauthorized WH Tax Setup record

Critical

Unauthorized Periodic Load record

Critical

Unauthorized Switch Privilege Setup record

Critical

Unauthorized Fund Holiday record

Critical

Unauthorized Group Definition

Critical

Unauthorized Fund Sale Restriction record

Critical

Unconfirmed Global Order

Critical

Unauthorized Incoming SWIFT message

Warning

Unprocessed/Repaired Incoming SWIFT message

Warning

Unauthorized Outgoing SWIFT message

Warning

Unprocessed/Repaired Outgoing SWIFT message

Warning

Unauthorized Overridden Loads

Critical

Unprocessed Dividends

Warning

Unprocessed Reinvestments

Warning

Standing Instructions for which Action is not taken after generating the First Reminder or Last Reminder

Warning

Redemptions which are due for Confirmation

Critical

Unauthorized Transactions

Critical

Transactions which are either unallotted, unsettled or partially allotted

Critical

Unexecuted valid Limit Orders

Warning

SIs generating on corporate action date

Warning

Brokers for whom the Commission is pending due

Warning

Periodic loads for the fund for which trailing commission is pending due

Warning

Fund(s) which do not retain ageing to subscription

Warning

Fund(s) which do are not active for corporate action pro­cessing

Critical

Number of Special Deals in which the fund belongs to

Warning

Number of LOI(s) in which the fund belongs to

Warning

Number of Income distribution(s) in the fund

Warning

Number of Reinvestment set up into the fund

Warning

Number of Interface Definition(s) in which the fund belongs to

Warning

Number of Job(s) in which the fund belongs to

Warning

Fund(s) in which Holding Period is applicable

Warning

Fund(s) in which Minimum Registered Capital > 0

Critical

Fund(s) in which minimum number of Unit Holders is greater than 0

Critical

Fund in which Switch Out transaction type should be maintained

Critical

Fund in which Switch In transaction type should be maintained

Critical

Fund in which fraction is not allowed but rounding rules for units is not TRUNCATE

Critical

4.26.6 System Processing for Corporate Actions

Liquidation

During execution, the corporate actions procedure picks up all liquidations whose corporate action date is the same as the current date, and with status as ‘unprocessed’ or ‘error’. Subsequently, the pre-processing checks are performed. The liquidation procedure is then executed, which performs the following actions:

Fund Split / Reverse Split

During execution, the corporate actions procedure picks up all splits (or reverse splits, as applicable) whose corporate action date is the same as the current date, and with status as ‘unprocessed’ or ‘error’. Subsequently, the pre-processing checks are performed. The split (or reverse split, as applicable) procedure is then executed, which performs the actions as shown below, in the appropriate scenario:

When the new fund is the same as the old fund

When the new fund is not the same as the old fund

Note

When units resulting from processing of a corporate action are redeemed, the computation of capital gains tax (CGT) in respect of them takes the corporate action into account.

Fund Merger

During execution, the corporate actions procedure picks up all mergers whose corporate action date is the same as the current date, and with status as ‘unprocessed’ or ‘error’. Subsequently, the pre-processing checks are performed. In case of the merger ratio not being specified, the system derives the parent-child ratio based on the respective net asset values of the funds in the merger.

The merge procedure is then executed, which performs the actions as shown below, in the appropriate scenario:

Note

When units resulting from processing of a corporate action are redeemed, the computation of capital gains tax (CGT) in respect of them takes the corporate action into account.

4.26.7 Reports for Corporate Actions

In the system, you can obtain the following reports displaying details of corporate actions processed in respect of funds:

4.26.7.1 Reports for Announcement / Confirmation of Corporate Actions

You can print reports that you would need to send to investors listing details of either:

To obtain such announcement / confirmation reports, click on Corporate Actions in the Queries / Reports menu, and Announcement / Confirmation Reports under it. The Announcement / Confirmation Report screen is opened.

In this screen, you must specify the following as mandatory sorting parameters for report generation:

You could also print or view it as required, by making appropriate specifications in the remaining fields of the generation screen, as follows:

After making your specifications, click the Run Report button. The report details are displayed in the Report Data Viewer screen.

Liquidation Announcement Report Details

The following details are displayed for liquidation announcement reports:

Liquidation Confirmation Report Details

The following details are displayed for liquidation confirmation reports:

Split Announcement Report Details

The following details are displayed for split announcement reports:

Split Confirmation Report Booking Details (Debit or Credit)

The following details are displayed for split confirmation reports:

Reverse Split Announcement Report Details

The following details are displayed for reverse split announcement reports:

Reverse Split Confirmation Report Booking Details (Debit or Credit)

The following details are displayed for reverse split confirmation reports:

Merger Announcement Report Details

The following details are displayed for merger announcement reports:

Merger Confirmation Report Booking Details (Debit or Credit)

The following details are displayed for merger confirmation reports:

4.26.7.2 Corporate Actions Checks Report

This report details the results of pre-processing validations performed before execution of a corporate action.

To obtain this report, click Corporate Actions in the Queries / Reports menu and Check Report under it. The Corporate Actions Check Report screen is opened.

You must specify the ID and ISIN code of the fund for which you wish to generate the report. Check the ‘As of next day’ box to indicate that you wish to generate the report for a fund for which the checks prior to corporate actions processing would be performed the next day.

4.26.7.3 Corporate Actions Amendment Report

If you wish to view the details of changes in unit holder balances due to amendment of a corporate action, you can use this report. The changes in the unit holder balance could be due to any of the following factors:

The pre-amendment and post-amendment balances are displayed.

To obtain this report, click on Corporate Actions in the Queries / Reports menu, and Amendment Report under it.

The Corporate Actions Amendment Report screen is opened. You must specify the corporate action for which you wish to generate the amendment report.

4.27 Bank Reconciliation

This section contains the following topics:

4.27.1 Reconciling Bank Records

Reconciliation is a process by which you will be able to match the bank statement entries with the corresponding transaction entries. System allows you to track reconciled, un-reconciled and partially reconciled transactions with the corresponding reconciled, un-reconciled and partially reconciled bank statement entries.

On uploading the bank statement, system will try to reconcile the entries automatically and update the cheque status as provided in the bank statement. Auto Reconciliation will happen based on the matching of Fund ID, Instrument Number, Instrument Amount and Drawee Bank/Branch code. Auto reconciled entries will be auto authorized by the system.

Manual reconciliation should be done for entries which the system fails to do auto reconciliation.

4.27.2 Invoking Bank Reconciliation Detail Screen

Reconciliation activity can be performed through the ‘Bank Reconciliation Detail’ screen. You can invoke this screen by typing ‘UTDBKREC’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button. The ‘Bank Reconciliation Detail’ screen is displayed.

The screen is divided into two frames; Bank Statement Search Option and Trade Search Option. Use the Bank statement search option to specify the search criteria to retrieve the uploaded bank statement entries. Similarly, use the Trade search option to specify the search criteria to retrieve the transaction entries that you want to reconcile.

Select the New option in the Operation field in this screen, to signify reconciliation.

Reconciliation activity can be amended in the same screen, by selecting the Amend option in the Operation field.

You can specify the following fields in this screen:

Operation

Choose ‘New’ from the drop-down list to choose new operation or else choose ‘Amend’.

Bank

Alphanumeric, Mandatory

From the list, select the name of the bank in which the fund account is held.

Branch

Alphanumeric, Mandatory

From the list, select the name of the branch of the bank in which the fund account is held.

Reconciliation Status

Alphanumeric, Optional

Indicate the reconciliation status here.

Account Number

Alphanumeric, Optional

Specify the number of the fund account.

Statement From Date and To Dates (DD/MM/YYYY)

Date Format, Optional

Specify a date range between which the bank statement records that you want to retrieve was uploaded into the system. The To Date that you specify must be later than the From Date.

Transaction Type

Alphanumeric, Optional

Specify a type of transaction; Pay in, payout, NPI, that you want to retrieve from selected fund bank account records uploaded into the system.

Statement Number

Alphanumeric, Optional

Enter the number of the statement which you want to retrieve.

Statement Transaction Code

Alphanumeric, Optional

Enter the code of the transaction as printed on the statement.

Statement Ref/Instrument Ref

Alphanumeric, Optional

If you want to search based on a particular bank entry, enter the statement reference number. Else, if you wish to search based on a particular instrument, enter the instrument reference number.

Fund ID

Alphanumeric, Optional

Enter the ID of the fund involved in the transaction.

Drawee Bank

Optional

Specify the name of the bank where the payment instrument is drawn, if the mode of payment is Check, Credit Card, Debit Card or Draft. In case of Transfer, specify the transfer bank code.

Drawee Branch

Optional

Specify the branch of the selected bank where the payment is drawn, if the mode of payment is Check or Draft. In case of Transfer, specify the transfer branch code.

Payment Mode

Enter the mode of payment for the transaction.

Location Code

Optional

Enter the location code.

After you have specified the fund account and statement details, click on OK. The required bank statement records that are located in the database are displayed in the lower grid.

The following details are displayed for each bank statement record in the Find Results section:

You can capture the following details:

Journal Entry

Optional

Check this option to indicate if a particular bank entry is a journal entry. For instance, bank entries can contain bank interest details for which there will be no corresponding trade entry to link with in FCIS. In such cases, you need to manually set the status of the entry as journal entry.

Reconciliation Status

Conditional

If the operation is ‘NEW’, the system derives the status of the bank entry as reconcile (for Un-reconciled entries) or partially reconcile (for partially reconciled entries) and displays the appropriate status here.

If the operation is ‘AMEND’, the system derives the status of the bank entry as reconcile (for reconciled entries) or partially reconcile (for partially reconciled entries) and displays the appropriate status here.

However, if the bank entry is marked as a journal entry, you are not allowed to indicate the reconciliation status.

Write Off Amount

Optional

Enter the write off amount to reconcile the bank entry.

Select

Mandatory

Check the entry which should be reconciled with the trade side. You can select only one entry for reconciliation with the trade side at a time.

IBAN

36 Characters Only; Alphanumeric; Optional

Specify the IBAN (International Bank Account Number) of the account holder.

Fields in Trade Search Option Section

Event Code

Mandatory

Select the event for which the transaction entry should be retrieved.

From and To Dates (DD/MM/YYYY)

Mandatory

Specify a date range between which the transaction entry that you want to retrieve was entered into the system. The To Date that you specify must be later than the From Date.

Fetch UnLinked Trades Only

Optional

If this option is un-checked, system will retrieve only un-reconciled trade entries. If checked, system will retrieve both un-reconciled and partially reconciled trade entries.

This option is checked by default.

Bulk Reconcile

On checking this option, system will generate a single transaction for a selected event for a given period by adding up all the transactions that fall within the search criteria.

You can search for a particular transaction entry based on any of the following criteria:

After you have specified the search criteria details, click on OK. The required bank statement records that are located in the database are displayed in the lower grid.

The following details are displayed for each transaction entry record:

You can capture the following details:

Matched Amount

Optional

Enter the amount to be matched with the bank side entry. By default, system displays the transaction amount here. However, you can change the amount.

Select

Mandatory

Check the entry which should be reconciled with the bank side entry. You can select more than one entry for reconciliation with bank side at a time.

On specifying the above details, click the ‘Reconcile’ button to perform the reconciliation activity and save the reconciled entries.

Once the matching record is retrieved from the database, system will automatically reconcile and take the following actions:

If system can not find a matching entry for a record in the Bank Feed, this record will be updated with Reconciliation status as ‘Unmatched Entry’.

If you are performing Amend operation, then click on the Un-Reconcile button to de-link the matched entries and save the un-reconciled entries.

4.28 Bank Reconciliation Summary Screen

This section contains the following topics:

4.28.1 Retrieving Record in Bank Reconciliation Summary Screen

You can retrieve a previously entered record in the Summary Screen, as follows:

Specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

Note

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

4.28.2 Viewing Bank Reconciliation Record

To view a record that you have previously input, you must retrieve the same in the Bank Reconciliation Summary screen as follows:

4.28.3 Deleting Bank Reconciliation Record

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

4.28.4 Authorizing Bank Reconciliation Record

An unauthorized Bank Reconciliation record must be authorized in the system for it to be processed. To authorize a record:

When a checker authorizes a transaction, details of validation, if any, that were overridden by the maker of the transaction during the Save operation are displayed. If any of these overrides results in an error, the checker must reject the transaction.

4.28.5 Copying Attributes

If you want to create a new Bank Reconciliation record with the same attributes of an existing maintenance, you can copy the attributes of an existing Bank Reconciliation record to a new one.

To copy the attributes:

4.28.6 Authorizing Bank Reconciliation

To authorize reconciled and un-reconciled entries, choose the operation ‘Authorize’ and the desired Reconcile Entry in the Bank Reconciliation Summary screen and enter the search criteria.

When you click ‘Ok’ button, records satisfying the search criteria that you have entered are displayed.

Check the option ‘Select’ against the entry which you wish to authorize. While authorizing the reconciled records you can specify the payment action the system should perform. The options are:

If the status of the cheque in bank feed is ‘Debit Received’, ‘Reject Status Awaited’ or ‘Rejected’, then you can select the option ‘Reject’. If the status of the cheque in the bank feed is ‘Credit Received’, you will be allowed to select the ‘Clear’ action.

4.29 Performance Fee for Hedge Funds

This section contains the following topics:

4.29.1 Computing Performance Fee for Hedge Funds

Hedge fund managers charge the investors a fee called performance fee, which is a percentage of the gains received by the investor. As investors enter and exit hedge funds at different points in time, the performance gains received by them also differ accordingly.

Hence, the performance fee calculations are carried out using a special accounting methodology called equalization accounting which ensures that the fund manager is paid the correct performance fee and also that the fees are fairly allocated between each investor in the fund. The investors also receive profit only for the period during which they stay invested in the fund.

The following performance fee calculation methods are supported for hedge funds:

Note

Variations to the above listed methods are also possible by setting up new rules and rule groups in the system.

The different performance fee calculation methods are briefly explained below:

Contingent Liquidation

The contingent liquidation method is an arithmetic method applied to subscriptions made at a price below the current HWM plus hurdle rate.

The contingent liquidation process helps the investor avoid paying unfair performance fees, in case the fund recovers in price. This mechanism ensures that the investor pays the same rate of performance fees as all other investors for any gain in value.

Equalization Credit

The equalization credit method is an arithmetic method applied to subscriptions made at a price (GAVPS) above the current HWM plus hurdle rate.

The equalization credit process ensures that the investor does not pay performance fees for performance prior to investing in the fund. This process calculates a number of shares, identified as the equalization credit holding, in the name of the investor, and is tracked during the life-time of the dealing lot.

Forced Redemption

The forced redemption method is an arithmetic method applied to all subscriptions made at a price (GAVPS) regardless of whether it is above or below the current HWM plus hurdle rate.

The forced redemption method ensures that all investors are treated equitably with regard to the paying of performance fees for performance since investing in the fund. This process calculates the number of shares to be redeemed either at the point of an early redemption or at the end of the performance fee period based on the movement of the price since subscription time.

4.29.2 Processing Performance Fee Payment

An EOD batch ‘Performance Fee Payment Process’ is used to process period end calculation of performance fee, based on the next payment date defined at the Fund Rule. The steps involved in the processing of performance fee can be summarized in the steps given below:.

  1. If the current application date is greater than or equal to next payment date, the ‘Performance Fee Payment Process’ batch gets executed.
  2. During payment processing, the system performs period end calculations as per the period end rule maintained for the given group and crystallizes the performance fee for all outstanding inflow transactions captured in the system.

Note

The reference type ‘PE’ identifies the transactions generated due to period end calcula­tions.

4.29.3 Processing Performance Fee Accrual

An EOD batch ‘Performance Fee Accrual Process’ handles the accrual of performance fee, based on the next accrual date defined at the Fund Rule. The accrual of the performance fee is carried out as follows:

  1. If the current application date is greater than or equal to next accrual date, the ‘Performance Fee Accrual Process’ batch gets executed.
  2. The rule mapped for the event ‘Period End’ in Group Rule maintenance, for a given group Id, is used for performance fee accrual calculations.
  3. Once accrual processing gets completed, the system updates the ‘Last Accrual date’ as current application date and ‘Next Accrual date’ as ‘current application date + accrual frequency’ for the fund rule.

Note

Accruals are performed only for reporting purpose and there will be no impact on transac­tion processing or further performance fee calculation.

4.29.4 Modifying Performance Fee Calculation Method

If you wish to change the performance fee calculation method for a given fund, you need to perform the steps given below. Two scenarios are explained based on the crystallization of the performance fee.

Case 1:

In this scenario, the crystallization of the performance fee is not required using existing performance fee method.

  1. Create a new group ID that represents the new performance fee calculation method.
  2. Amend the fund rule to replace the old Group ID with the new Group ID.
  3. On BOD of new rule effective date, the system updates the fund rule with newly mapped group and starts accruing and applying performance fee based on this new method.

Example:

Assume that the existing Fund Rule setup is as given below:

Above setup indicates that the fund 'HFUND1' uses 'EC/CL' methodology for calculating performance fee. If you want to change the PF calculation method for the fund from ‘EC/CL’ to ‘FR’ (e.g. Group ID '8002') from 01-May-2009 onwards and period end processing is not required, then you need to perform the steps given below.

  1. Amend the fund ‘HFUND1’; change the Group ID to 8002 which represent ‘FR calculation methodology’ and specify the new Rule Effective Date for the fund as ’01-May-2009’.
  2. On BOD of ’01-May-2009’, system will update group Id for fund ‘HFUND1 as 8002.
  3. From 01-May onwards, the system starts applying performance fee based on ‘FR methodology’.
  4. On 31-Dec, system executes the period end calculation based on ‘FR methodology’.

Case 2:

In this scenario, the performance fee needs to be crystallized using existing performance fee method.

  1. Create a new group ID that represents the new performance fee calculation method.
  2. Amend the fund rule and update ‘Next Payment Date’, so that the system performs period end calculations as per the existing Group.
  3. On BOD of new rule effective date, the system updates the Next Payment Date.
  4. Before EOD of Next Payment Date, amend the fund rule to map with the new Group ID and specify the next payment date and next accrual date.
  5. On EOD, the system performs period end processing as per the existing Group ID.
  6. On BOD of New Rule Effective Date, the system updates the Group ID with the new Group ID.
  7. From this date onwards the system calculates performance fee based on the new Group ID.

Example

Assume that the existing Fund Rule setup is as given below:

The above Fund Rule setup indicates that the fund 'HFUND1' is using 'EC/CL' methodology for calculating performance fee. If you want to change the PF calculation method for the fund from ‘EC/CL’ to ‘FR’ (e.g. Group ID '8002') from 01-May-2009 onwards and want the system to process period end calculation using existing method (8001) then, hen you need to perform the steps given below.

  1. Amend the fund ‘HFUND1’; specify the new Rule Effective Date for the fund as ’16-Jan-2009’ and change the Next Payment date to ’30-Apr-2009’ which represents next period end date. (Next Payment Date should be grater then new Rule Effective Date)
  2. On BOD of ’16-Jan-2009’, the system updates Next Payment Date as ’30-Apr-2009’ for fund ‘HFUND1’.
  3. Before EOD of ’30-Apr-2009’, amend the fund ‘HFUND1’ and specify the new Rule Effective Date for the fund as ’01-May-2009’; Change the Group ID to ‘8002’ and Next Payment date to ’31-Dec-2009’ for new group (8002).
  4. On EOD of ’30-Apr-2009’, the system executes the period end calculation based on Group 8001 (EC/CL methodology).
  5. On BOD of ’01-May-2009’, the system updates group Id to 8002 (FR methodology) and Next Payment Date to ’31-Dec-2009’ for fund ‘HFUND1’.
  6. From 01-May -2009 onwards, the system starts applying performance fee calculations based on Group Id 8002 (‘FR methodology’).

4.29.5 Series Method of Performance Fee Calculation

In the series method of performance fee calculation, a new series is created for a fund each time there are new subscribers for each pricing period during the performance fee period. These series are maintained separately until the time they are consolidated with other series belonging to the same fund.

The consolidation for each of the subsequent series issued usually happens at the end of every accounting period. For the consolidation to happen, an incentive fee needs to be paid for each of the series, including the series in which it is being merged, which could be done quarterly, half-yearly, or annually.

Note

You need to manually create new fund series for each fund pricing period and also handle the consolidation of the fund series operationally. The system does not provide any auto­mated tasks to achieve this.

4.30 Override Trade Cycles Date For Funds

This section contains the following topics:

4.30.1 Invoking Override Trade Cycle Date Screen

You can specify trade cycle dates that are different from the ones defined for a fund for transactions falling within a limited period (known as the ‘Override Period’). If you maintain these details, for the transactions that take place within the period, the system will use the dates you have maintained rather than the ones at the fund level. This facility is available only for funds with specific fund prices and for the following events:

You can define the alternate trade cycle dates and the override period in the ‘Override Trade Cycle Date’ screen. To invoke this screen, type ‘UTDTDCYL’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

You can maintain the following details here:

You can specify the following fields in this screen:

Fund ID

Alphanumeric; Mandatory

Specify the ID of the fund for which you wish to maintain different trade cycle dates for transactions made during the override period. You can also select the fund ID from the adjoining option list. The list contains the IDs of all the funds which have a specific fund price setup.

Fund ISIN

Display Only

The system displays the Fund ISIN.

Fund Name

Display Only

The system displays the name for the fund selected.

Transaction Type

Alphanumeric; Mandatory

Select, from the adjoining drop-down list, the transaction type for which the trade cycle dates are applicable. It should be a valid transaction type for the fund.The options are:

Transaction From Date

Date Format; Mandatory

Enter the starting date of the override period. This should be a valid date in the system and can be before, after or equal to the system date.

Transaction To Date

Date Format; Mandatory

Enter the ending date of the override period. This should be a valid date in the system and can be before, after or equal to the system date.

For all the transactions falling within the ‘Transaction From Date’ and ‘Transaction To Date’, the system will default the dealing, settlement and price dates maintained here.

Dealing Date

Date Format; Mandatory

Specify a valid date as the dealing date. This date should be greater than or equal to the the ‘Transaction To Date’. It can also be a holiday as per the system.

Settlement Date

Date Format; Mandatory

Enter a valid date as the settlement date. The date entered should be greater than or equal to the ‘Transaction From Date’ and should not be a fund, currency or system holiday.If the settlement date is a holiday in transaction currency, then the system will update the next working day of the transaction currency as settlement date

Price Date

Date Format; Mandatory

Enter a valid date as the price date. The date entered should be greater than or equal to the ‘Transaction To Date’ but not a fund holiday.

After you authorize the maintenance, the dealing date, settlement date and price date for a transaction type will be displayed in the transaction if the transactions falls within the override period specified and if no transaction has been allotted within the override period.

Note

4.31 Override Trade Cycle Date Summary Screen

This section contains the following topics:

4.31.1 Retrieving Record in Override Trade Cycle Date Summary screen

You can retrieve a previously entered record in the Summary Screen, as follows:

. Specify any or all of the following details in the corresponding fields:

Click ‘Search’ button to view the records. All the records with the specified details are retrieved and displayed in the lower portion of the screen.

You can also retrieve the individual record detail from the detail screen by querying in the following manner:

You can perform Edit, Delete, Amend, Authorize operations by selecting the operation from the Action list. You can also search a record by using a combination of % and alphanumeric value.

Example

You can search the record for Fund ID by using the combination of % and alphanumeric value as follows:-

4.31.2 Editing an Override Trade Cycle Date Record

You can modify the details of an Override Trade Cycle Date record that you have already entered into the system, provided it has not been subsequently authorized. You can perform this operation as follows:

4.31.3 Viewing an Override Trade Cycle Date Record

To view a record that you have previously input, you must retrieve the same in the Override Trade Cycle Date Summary screen as follows:

4.31.4 Deleting an Override Trade Cycle Date Record

You can delete only unauthorized records in the system. To delete a record that you have previously entered:

4.31.5 Authorizing an Override Trade Cycle Date Record

An unauthorized Override Trade Cycle Date record must be authorized in the system for it to be processed. To authorize a record:

4.31.6 Amending an Override Trade Cycle Date Record

After an Override Trade Cycle Date record is authorized, it can be modified using the Unlock operation from the Action List. To make changes to a record after authorization:

4.31.7 Authorizing an Amended Override Trade Cycle Date Record

An amended Override Trade Cycle Date record must be authorized for the amendment to be made effective in the system. The authorization of amended records can be done only from Fund Manager Module.

The subsequent process of authorization is the same as that for normal records.

4.31.8 Copying Attributes

If you want to create a new Override Trade Cycle Date record with the same attributes of an existing maintenance, you can copy the attributes of an existing Override Trade Cycle Date record to a new one.

To copy the attributes: