4.18.5 Specifying options in Loan Parameters screen

To capture details of combined ticket settlement authorization screen

Specify the User ID and Password, and login to Homepage.

1. On the homepage, type OLDLNPRM and click next arrow.
   The Loans Parameters screen is displayed.

   Note:

   The fields which are marked in asterisk red are mandatory fields.

   Figure 4-44 Loans Parameters

   
   

   
   Description of "Figure 4-44 Loans Parameters"

   
   
2. You can specify the following options in Loans Parameters screen.
   • ClearPar TradeID in Field72

     By default, ClearPar TradeID in Field72 check box is not selected in Loan Parameters screen.

     • If the ClearPar TradeID in Field72 is selected and ClearPar trade ID presents for one of the trades under the ticket then ClearPar trade ID is displayed in the first row of field 72 in the payment message that is generated at the ticket level or trade level.
       • ClearPar trade ID is displayed in field 72 only when the value is present for at least one trade under the ticket. Note that ClearPar trade ID is displayed in field 72 though ClearPar trade ID is blank for the current trades being settled but present for the other active / settled trades under the same ticket.
       • ClearPar trade ID is displayed in Sender to Receiver Info field in settlement details tab and ClearPar trade ID is sent in payment message as well for MT103 and MT 202.
       • Field 72 is populated with ClearPar trade ID as mentioned above during trade settlement as well. ClearPar trade ID is populated in field 72 even if the value is blank for the current trade being settled but other trade(s) under the ticket has the ClearPar trade ID.
     • If this check box is selected or cleared but ClearPar trade ID value is blank for all trades during settlement then the existing functionality of field72 population continues to work.
     • During ticket settlement, the system picks up ClearPar trade ID in random from any trade being settled and displays in field 72. It is expected that you have to perform ticket settlement for trades having same ClearPar trade ID and this should be manually done.
     • During ticket settlement, Field 72 is populated with ClearPar trade ID even if one trade is having ClearPar trade ID though the ClearPar trade ID is blank for the remaining trades being settled.
     • It is expected that CLP trades under a ticket have a same ClearPar trade ID and this should be manually done.
     • Currently TRS trades are getting booked from LQT similar to Par trades; swap deals does not have allocations to swap counterparties. Considering this, Clearpar trade ID is consumed from LQT for the trade contract involving TRS desk.
     • There is no processing change for ClearPar trade ID and the existing trade processing (booking, amendment and settlement) functionality remains the same.
   • Auto Confirm Messages
     • The Auto Confirm Messages check box is selected by default. If required you can clear this check box. If the check box is selected, the records are populated in the automated settlement queue with the Confirmation Status as Confirmed when the validations are successful. If the validations are failed, then the records are populated in the automated settlement queue with the Confirmation Status as Unconfirmed even if the Auto Confirm Messages check box is selected.
     • If Auto Confirm Messages check box is cleared, the records are populated in the automated settlement queue with the Confirmation Status as Unconfirmed irrespective of the failure or success of the validations. You should manually mark the confirmation status of the record as Confirmed by unlocking the same in the automated settlement queue to proceed with automated settlement.
   • Automate Ticket Settlement

     The Automate Ticket Settlement check box is selected by default. If required you can clear this check box.If the new flag Automate Ticket Settlement is selected, then the system automates the trade settlement process. The system processes only the effective Settlement Details Notice (SDN) where the tag value is True for the tag list Is Effective received from Markit. If the tag value is False, the system does not process the SDN message.

     The other notices mentioned below which are received from Markit are not processed.

     • Trade Match Notification
     • Syndicated Loan Trade Allocation
     • Trade Update Notification
     • Trade Closed Notice.
     If the Automate Ticket Settlement check box is cleared, that is, system processes all the notices received from Markit mentioned above and you have to manually initiate trade settlement after the trade closed notice is received.

     The system processes Combined Ticket Settlement as part of automated settlement based on trade ID, allocation ID and multi CUSIP combination. Refer the below table for processing based on multiple CUSIPs.

     Table 4-36 Combined Ticket settlement

     SDN Message	Markit / ClearPar Trade ID	Allocation ID	CUSIP	Consolidated Ticket Settlement Reference	OBCL Trade Reference
     MSG01	TR1	TR1001	A	ABC	FC01
     MSG01	TR1	TR1001	B	ABC	FC02
     MSG01	TR1	TR1001	C	ABC	FC03
     MSG02	TR2	TR1002	X	XYZ	FC04
     MSG02	TR2	TR1002	Y	XYZ	FC05
     MSG02	TR2	TR1002	Z	XYZ	FC06

     If there are multiple CUSIPs present in the SDN message and the validations fails for one of the CUSIPs, the confirmation status is updated as Unconfirmed only for the failed CUSIP. The confirmation status for the other valid records within the same SDN message is updated as Confirmed but systematic settlement is not processed for the same. Refer the below table for the details on processing multiple CUSIPs within the same SDN message with respect to confirmation status.

     Table 4-37 Automate Ticket Settlement-Auto Confirm Messages- Check box not selected.

     Trade ID	Allocation ID	CUSIP	Consolidated Ticket Settlement Reference	Confirmation status	Processing in OBCL	Threshold Validation	Error Message
     TR1	001	A	XYZ1	Unconfirmed	Settlement is not processed	Successful	N/A
     TR1	001	B	XYZ1	Unconfirmed	Settlement is not processed	Failed	Error details of threshold vaildation
     TR1	001	C	XYZ1	Unconfirmed	Settlement is not processed	Failed	Error details of trade price mismtach

     Table 4-38 Automate Ticket Settlement-Auto Confirm Messages-Check box selected (Unconfirmed)

     Trade ID	Allocation ID	CUSIP	Consolidated Ticket Settlement Reference	Confirmation status	Processing in OBCL	Threshold Validation	Error Message
     TR1	001	A	XYZ1	confirmed	Settlement is not processed	Successful	N/A
     TR1	001	B	XYZ1	Unconfirmed	Settlement is not processed	Failed	Error details of threshold vaildation
     TR1	001	C	XYZ1	Unconfirmed	Settlement is not processed	Failed	Error details of trade price mismtach

     Table 4-39 Automate Ticket Settlement-Auto Confirm Messages-Check box selected.

     Trade ID	Allocation ID	CUSIP	Consolidated Ticket Settlement Reference	Confirmation status	Processing in OBCL	Threshold Validation	Error Message
     TR1	001	A	XYZ1	confirmed	Settlement is processed	Successful	N/A
     TR1	001	B	XYZ1	confirmed	Settlement is processed	Successful	N/A
     TR1	001	C	XYZ1	confirmed	Settlement is processed	Successful	N/A