Entering Sell/Buybacks
You may enter deals with sell/buyback options. You may exercise a sell/buyback as a full sale transaction or as partial sale transactions. The following two examples describe a Sell/Buyback deal with Partial Sale transactions followed by a Sell/Buyback deal with a Full Sale transaction.
Sell/Buyback with Partial Sale
A corporate bond investment was entered on April 30, 2003. The bond was issued in the amount of $1,000,000.00 USD for 2 years to mature May 1, 2005 at 6.125% interest. On September 30, 2003, the investor partially sells 30% of the investment to another investor.
Access the Deal Detail page for this deal.
| Page | Field | Field Value |
|---|---|---|
|
Deal Detail page |
|
|
|
|
Instrument Type |
CORPBOND |
|
|
Transaction Date |
04/30/2003 |
|
|
Instrument Base Type |
Interest Rate Physical |
|
Interest Rate Physical Details |
|
|
|
|
Settlement Date |
05/01/2003 |
|
|
Term |
732 |
|
|
Maturity Date |
05/02/2005 |
|
|
Issue Date |
05/01/2003 |
|
|
Interest Period Start Date |
05/01/2003 |
|
|
Classification |
Investment |
|
|
Rate Type |
Fixed |
|
|
Rate |
6.125 |
|
|
Day/Count Basis |
30/360 |
|
|
Interest Calculation |
Interest Bearing |
|
|
Par Amount |
2,000,000.00 |
|
|
Currency |
USD |
|
|
Settlement Amount |
2,000,000.00. |
|
|
Price % of Par |
100.0 |
|
|
Discount/Premium |
Constant Yield Method |
|
Interest Dates and Calculation |
|
|
|
|
Repeat Interest Dates |
Selected |
|
|
Interest Frequency |
Semi-Annual |
|
|
Business Day Convention |
Following |
|
|
Next Interest Payment |
Traded Cum-Interest |
|
|
Interest Calculation |
Day Counted Interest Use Actual Interest Dates |
|
|
Interest Date Rule |
Forwards from Issue Date |
|
|
Payment Date |
Business Days - Paid in Arrears |
|
|
+/- Payment Days |
0 |
|
|
+/- Reset Days |
0 |
|
Portfolio |
DEMO |
|
|
|
Accounting Treatment |
Held to Maturity |
|
|
Counterparty |
USBNK |
|
|
Issuer |
USBNK |
|
|
Guarantor |
USBNK |
|
|
Description |
2 Years to 2005–05–02 Investment USD 2.0 m. @ 6.125% |
|
|
Deal Status |
Open (Before Sell) Partially Sold/Bought Back (After Partial Sell) |
| Page | Field | Field Value |
|---|---|---|
|
Settlement Instructions page |
||
|
Payment Information |
||
|
Our Settle Thru SetID |
SHARE |
|
|
Our Settle Thru Bank |
USBNK |
|
|
Our Settle Thru Account |
CHCK |
|
|
Counterparty's Instructions |
USBKS |
|
|
Payment Method |
Wire Transfer |
|
|
Layout |
820 |
|
|
Receipt Information |
||
|
Our Settle Into SetID |
SHARE |
|
|
Our Settle Into Bank |
USBNK |
|
|
Our Settle Into Account |
CHCK |
|
|
Our Settlement Instructions |
TUS01 |
| Page | Field | Field Value |
|---|---|---|
|
Update/Display Sell/Buyback Details page |
|
|
|
|
Unwind Date |
09/30/2003 |
|
|
Settlement Date |
09/30/2003 |
|
Unwind Settlement |
|
|
|
|
Unwind Principal Balance |
2,000,000.00 |
|
|
Unwind Par |
600,000.00 |
|
|
Unwind Pro Rata % |
30.0 |
|
|
Sale Currency |
USD |
|
|
Amortized Disc/Premium |
0.00 |
|
|
Price % of Par |
100.00000000 |
|
|
Unamortized Disc/Premium |
0.00 |
|
|
Unwind Principal Amount |
600,000.00 |
|
|
Write-Off Unam Disc/Prem |
0.00 |
|
|
Unwind Accrual Amt |
15,210.42 |
|
|
Fee Balance |
0.00 |
|
|
Unwind Settlement Amount |
615,210.42 |
|
|
Amortized Fee |
0.00 |
|
|
Unwind Book Value |
600,000.00 |
|
|
Unamortized Fee |
0.00 |
|
|
Gain/Loss |
0.00 |
|
|
Write-Off Fee |
0.00 |
|
Counterparty |
|
|
|
|
SetID |
SHARE |
|
|
Counterparty |
USBNK |
|
Settlement Instructions |
|
|
|
|
Sale Bank SetID |
SHARE |
|
|
Our Settlement Bank |
USBNK |
|
|
Our Settlement Account |
CHCK |
|
|
Settlement Instructions |
TUS01, TUS01 Corporate Tr Settle Inst |
A new deal representing the balance remaining of the original deal after the original deal has been entered as Partially Sold/Bought Back.
Note the new Deal ID, the added field Deal Start Date and the Deal Status.
| Page | Field | Field Value |
|---|---|---|
|
Deal Detail page |
|
|
|
|
Settlement Date |
05/01/2003 |
|
|
Term |
732 |
|
|
Maturity Date |
05/02/2005 |
|
|
Issue Date |
05/01/2003 |
|
|
Interest Period Start Date |
05/01/2003 |
|
|
Classification |
Investment |
|
|
Rate Type |
Fixed |
|
|
Rate |
6.125 |
|
|
Day/Count Basis |
30/360 |
|
|
Interest Calculation |
Interest Bearing |
|
|
Par Amount |
1,400,000.00 |
|
|
Currency |
USD |
|
|
Settlement Amount |
1,400,000.00. |
|
|
Price % of Par |
100.0 |
|
|
Purchased Interest |
0.00 |
|
|
Discount/Premium |
Constant Yield Method |
|
|
Yield |
4.25000008 |
|
|
Amort Method |
Non Amortizing |
|
Interest Dates and Calculation |
|
|
|
|
Repeat Interest Dates |
Selected |
|
|
Interest Frequency |
Semi-Annual |
|
|
Business Day Convention |
Following |
|
|
Next Interest Payment |
Traded Cum-Interest |
|
|
Interest Calculation |
Day Counted Interest Use Actual Interest Dates |
|
|
Interest Date Rule |
Forwards from Issue Date |
|
|
Payment Date |
Business Days - Paid in Arrears |
|
|
+/- Payment Days |
0 |
|
|
+/- Reset Days |
0 |
|
Portfolio |
DEMO |
|
|
|
Accounting Treatment |
Held to Maturity |
|
|
Counterparty |
USBNK |
|
|
Issuer |
USBNK |
|
|
Guarantor |
USBNK |
|
|
Description |
2 Years to 2005–05–02 Investment USD 2.0 m. @ 6.125% |
|
|
Deal Status |
Open |
|
|
Deal Status |
Open |
|
|
Deal Start Date |
09/30/2003 |
Save the new deal. When you generate cash flows for the original deal and the new deal, the principal and interest values will be updated to reflect the partial sell/buyback transaction.
| Page | Field | Field Value |
|---|---|---|
|
Cashflows page |
|
|
|
|
Date Description Amount Currency Nominal Date Interest Date |
11/03/2003 Interest 43,351.39 USD 11/01/2003 11/03/2003 |
|
|
Date Description Amount Currency Nominal Date Interest Date |
05/03/2004 Interest 42,875.00 USD 05/01/2004 05/03/2004 |
|
|
Date Description Amount Currency Nominal Date Interest Date |
11/01/2004 Interest 42,398.61 USD 11/01/2004 11/01/2004 |
|
|
Date Description Amount Currency |
05/02/2005 Principal & Interest 1,443.113.09 USD |
| Page | Field | Field Value |
|---|---|---|
|
Interest and Payment Dates page |
|
|
|
|
Type Period End Date Payment Date Amount Principal Balance Rate Set Rate Interest Payment Principal Payment Currency |
Interest 11/03/2003 11/03/2003 43,351.39 1,400,000.00 Selected 6.125 43,351.39 0.00 USD |
|
|
Type Period End Date Payment Date Amount Principal Balance Rate Set Rate Interest Payment Principal Payment Currency |
Interest 05/03/2004 05/03/2004 42,875.00 1,400,000.00 Selected 6.125 42,875.00 0.00 USD |
|
|
Type Period End Date Payment Date Amount Principal Balance Rate Set Rate Interest Payment Principal Payment Currency |
Interest 11/01/2004 11/01/2004 42,398.61 1,400,000.00 Selected 6.125 42,398.61 0.00 USD |
|
|
Type Period End Date Payment Date Amount Principal Balance Rate Set Rate Interest Payment Principal Payment Currency |
Interest 05/02/2005 05/02/2005 43,113.19 1,400,000.00 Selected 6.125 43,113.19 0.00 USD |
| Page | Field | Field Value |
|---|---|---|
|
Cashflows page |
|
|
|
|
Date Description Amount Currency |
05/01/2003 Principal -2,000,000.00 USD |
|
|
Date Description Amount Currency |
09/30/2003 Sale Settlement 615,210.42 USD |
Sell/Buyback with Full Sale
A corporate bond investment was entered on April 30, 2003. The bond was issued in the amount of $1,000,000.00 USD for 2 years to mature May 1, 2005 at 4.25% interest. On September 25, 2003, the investor sells 100% of the investment.
| Page | Field | Field Value |
|---|---|---|
|
Deal Detail page |
|
|
|
|
Instrument Type |
CORPBOND |
|
|
Transaction Date |
04/30/2003 |
|
|
Instrument Base Type |
Interest Rate Physical |
|
|
Settlement Date |
05/01/2003 |
|
|
Term |
731 |
|
|
Maturity Date |
05/01/2005 |
|
|
Issue Date |
05/01/2003 |
|
|
Interest Period Start Date |
05/01/2003 |
|
|
Classification |
Investment |
|
|
Rate Type |
Fixed |
|
|
Rate |
4.25 |
|
|
Day/Count Basis |
30/360 |
|
|
Interest Calculation |
Interest Bearing |
|
|
Par Amount |
1,000,000.00 |
|
|
Currency |
USD |
|
|
Settlement Amount |
1,000,000.00. |
|
|
Price % of Par |
100.00000000 |
|
|
Purchased Interest |
0.00 |
|
|
Discount/Premium |
Constant Yield Method |
|
|
Yield |
4.25000000 |
|
Interest Dates and Calculation |
|
|
|
|
Repeat Interest Dates |
Selected |
|
|
Interest Frequency |
Semi-Annual |
|
|
Business Day Convention |
Modified Following |
|
|
Next Interest Payment |
Traded Cum-Interest |
|
|
Interest Calculation |
Same Interest each Period Normal First coupon Period Normal Last Coupon Period |
|
|
Interest Date Rule |
Forwards from Issue Date |
|
|
Payment Date |
Business Days — Paid in Arrears |
|
|
Accounting Treatment |
Held to Maturity |
|
|
Counterparty |
USBNK |
|
|
Issuer |
USBNK |
|
|
Guarantor |
USBNK |
|
|
Description |
2 Years to 2005–05–01 Investment USD 1.0 m. @ 4.25% |
|
|
Deal Status |
Open (Before Sale) Sold/Bought Back (After Sale) |
| Page | Field | Field Value |
|---|---|---|
|
Settlement Instructions page |
||
|
Payment Information |
||
|
|
Our Settle Thru SetID |
SHARE |
|
|
Our Settle Thru Bank |
USBNK |
|
|
Our Settle Thru Account |
CHCK |
|
|
Counterparty's Instructions |
USBKS |
|
|
Payment Method |
System Check |
|
Receipt Information |
||
|
|
Our Settle Into SetID |
SHARE |
|
|
Our Settle Into Bank |
USBNK |
|
|
Our Settle Into Account |
CHCK |
|
|
Our Settlement Instructions |
TUS01 |
Select the Sell/Buyback hyperlink and access the Update/Display Sell/Buyback Details page.
| Page | Field | Field Value |
|---|---|---|
|
Update/Display Sell/Buyback Details page |
|
|
|
|
Unwind Date Settlement Date |
08/25/2003 08/25/2003 |
|
|
Receive |
Yes |
|
|
Unwind Principal Balance |
1,000,000.00 |
|
|
Unwind Par |
1,000,000.00 |
|
|
Unwind Pro Rata % |
100.0 |
|
|
Sale Currency |
USD |
|
|
Amortized Disc/Premium |
0.00 |
|
|
Price % of Par |
100.00000000 |
|
|
Unamortized Disc/Premium |
0.00 |
|
|
Unwind Principal Amt |
1,000,000.00 |
|
|
Write-Off Unam Disc/Prem |
0.00 |
|
|
Unwind Accrual Amt |
13,458.33 |
|
|
Fee Balance |
0.00 |
|
|
Unwind Settlement Amount |
1,013,458.33 |
|
|
Amortized Fee |
0.00 |
|
|
Unwind Book Value |
1,000,000.00 |
|
|
Unamortized Fee |
0.00 |
|
|
Gain/Loss |
0.00 |
|
|
Write-Off Fee |
0.00 |
|
|
Counterparty |
USBNK |
|
|
Our Settlement Bank |
USBNK, USA BANK |
|
|
Our Settlement Account |
CHCK, USBNK CHECKING ACCT |
|
|
Settlement Instructions |
TUS01, TUS01 Corporate Tr Settle Inst |
Process the deal to generate cash flows.
| Page | Field | Field Value |
|---|---|---|
|
Cashflows page |
|
|
|
|
Settlement Date Description Amount Currency |
05/01/2003 Principal -1,000,000.00 USD |
|
|
Settlement Date Description Amount Currency |
08/25/2003 Sale Settlement 1,013,458.33 USD |