1.1 Capture Broker Details

This topic describes the systematic instruction to capture the broker details.

The user can capture the following details in this screen:

• The broker’s code
• The name and address of the broker
• The booking currency
• The transaction code under which the system should track accounting entries involving the liquidation
• Whether it is to be paid in advance or as arrears
• The tax scheme applicable
• The tax paid and the tax payable accounts

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

1. On the Home page, enter BRDMAST in the field at the top right corner of the application tool bar and clicking the adjoining arrow button.
   The Treasury Broker Master Maintenance screen displays.

   Figure 1-1 Treasury Broker Master Maintenance

   
   Description of "Figure 1-1 Treasury Broker Master Maintenance"

   Note:

   All fields with the (*) symbol are mandatory.
2. In the Treasury Broker Master Maintenance screen, specify the fields.
   For description of the fields, refer to the below table.

   Table 1-1 Treasury Broker Master Maintenance- Field Description

   Fields	Description
   Broker ID	Specify a unique broker identification for every broker with whom you deal. The Broker Identification has to be the same as the broker’s Customer Identification Number. The Customer Identification Number can be selected from a list that is displayed. This Broker ID is used to identify the broker. For example, when processing a deal on which you have to pay brokerage, or when generating reports for a broker, you need to enter the code of the broker involved.
   Name	Specify the name of the broker. The system maps and displays the name and address of the broker, when you select the Customer Identification Number to identify a broker. You cannot change the name which displays in this screen, but according to the defined details you can enter the changed address of the broker.
   Execution Broker	Select this box to indicate that the broker created is an Execution Broker.
   Clearing Broker	Select this box to indicate that the broker created is a Clearing Broker.
   Broker’s Address	Specify the changed address of the broker in the following fields. Street City Country
   Applicable For	Specify the below applicable for fields.
   Exchange Traded Derivatives	Select this check box to indicate the broker whose details you are maintaining can be used in the ETD module of Oracle Banking Treasury Management. If you check this box, the system displays an override stating the booking method is Advance.
   Enable Treasury Commission Setup	this box to indicate that the broker commission setup should be used for brokerage calculation.
   Default Agreement	Specify the default agreement for the broker. The adjoining option list displays the relevant agreements. You can choose the appropriate one.
   Brokerage Liquidation	Under the brokerage liquidation field section specify the below brokerage liquidation fields to capture the details .
   Booking Method	Select the method in which the brokerage amount is to be liquidated. The options available are: Advance Arrears Note: The arrears option is not valid if you have selected the exchange traded derivatives option.
   Liquidation Transaction Code	Specify a liquidation transaction code from the codes maintained in the Core Entities module of Oracle Banking Treasury Management. The system passes accounting entries under the selected transaction code. A broker gets the brokerage amount only after liquidation through the brokerage liquidation function.
   Payment Currency	Select the currency in which the brokerage amount is to be booked.
   Tax Details	Specify the tax scheme details
   Tax Scheme	A tax scheme holds the tax rules for the tax applicable on the brokerage paid.
   Payable Currency	Specify the currency in which you would like to pay brokerage for every brokerage. If the currency that you specify is not the broker’s account currency, the standard exchange rate (for the day) is used to convert the brokerage into the currency of the broker’s account. The brokerage is booked into the broker account defined in this screen. If this account is either not specified or is not available when brokerage is being booked, the brokerage can be booked in any one of the broker’s savings or current accounts (in the currency specified here).
   Booking Method	Select the booking method to book the brokerage payable to a broker either in: Advance Arrears If you select: Advance: brokerage can be booked when the deal is initiated Arrears: brokerage can be booked when the deal is liquidated
   Category	Select the category from the drop-down list. Broker Exchange Clearing Member This defines the category of the entity whether a broker, an exchange member or a clearing member.
   Tax Paid	Specify the following details, if any tax is to be paid on the brokerage: Account- The account from which the broker’s tax component debits Transaction code- You have to specify the transaction code for the tax payable account by selecting one from the list so that the system passes accounting entries for this transaction. The transaction code identifies the nature of the entry which passes If any tax is payable on the brokerage, you have to specify the following details: Account- The account to which the broker’s tax component credits Transaction code– You have to specify the transaction code for the tax payable account so that the system passes accounting entries for this transaction
   Broker Account	In the Broker Account table you can specify the following details:
   Margin Type	Select the margin account type from the drop- down list. The list displays the following values: Initial Margin Variation Margin
   Account	Specify the account of the broker. The adjoining option list gives you a list of accounts. Choose the appropriate one. You cannot specify the same account number for another broker. Each broker should have account numbers unique to him. Note: It is mandatory for you to specify at least one account number for the broker. If the broker is dealing with Exchange Traded Derivatives, his external accounts have to be maintained here. You cannot specify the same account numbers for different brokers. Each broker should have unique account numbers.
   Description	Specify a brief description for the account.