5.2.32.1 Using the ‘Unlock’ option to fix the exchange rate before the start date

You can use the unlock option to fix the exchange rate before the effective start date of the exchange rate fixing period. If you attempt to fix the exchange rate after the effective start date, the following message is displayed.

Exchange rate already fixed

To amend the exchange rate for the current fix period (that is, before the effective start date), do the following:

1. Select the drawdown for which you want to fix the exchange rate. You can use the navigation button provided in the toolbar of the screen to select the drawdown. Alternatively, you can also use the F7 and F8 keys to fetch the required drawdown. The system will display the Fixing Date based on the exchange rate fixing days maintained for the drawdown currency at the tranche level. The Fix Notification Date is one day prior to the Fixing Date for such drawdowns (for which exchange rate fixing is done before the effective start date).
2. Unlock the selected drawdown. To do this, Select Unlock option from the menu.
3. Specify the effective end date for the period. This date should not be greater than the drawdown maturity date and earlier than the Effective Start Date. When you specify the end date, system will accordingly display the Next Effective Start Date (Effective End Date + 1).
4. Change the default exchange rate, if required. This rate is picked up from the Currency Rates Maintenance screen. You may also capture any remarks, if required.
5. Select Save from the menu to save the changes. The system will display a confirmation message if the save operation is successful.

Note:

• If you have defined revaluation schedules for a period, you cannot fix the exchange rate for that period.
• In case of future dated drawdowns, exchange rate should be fixed before the value date of the drawdown

• If you fix the exchange rate for a contract wherein the advices BORR_EXFX_ADV or PART_EXFX_ADV are suppressed for the EXFX event, then the system displays the following override when you save:

  Advice for event EXFX is suppressed for the product, Do you want to continue?

• Similarly, If you fix the exchange rate for a contract wherein the advices BORR_ROEX_ADV or PART_ROEX_ADV are suppressed for the ROEX event, then the system will display the following override:

  Advice for event ROEX is suppressed for product, Do you want to continue?

• Similarly, If you fix the exchange rate for a contract wherein the advices BORR_CREX_ADV or PART_CREX_ADV are suppressed for the CREX event, then the system displays the following override:

  Advice for event CREX is suppressed for product, Do you want to continue?