1.2 Brokerage Rule Definition

This topic describes the brokerage rule definition feature.

A brokerage rule identifies the basic nature of a brokerage component. Each brokerage rule is defined by a ten-character code, called the Rule ID. Attributes are defined for this Rule ID, which is then associated with a broker and product. When a deal is processed, the brokerage attributes defined for the Rule ID that is associated with a broker and product is applied on the deal. A brokerage rule is created in the same way that any Interest, Commission, Charge and Fee (ICCB) rule is created, as follows:

• The rule is created at the head office branch, by giving it a unique identification and description, in the Treasury ICCB Rule Availability Maintenance screen. In this screen, the rule is made available for use in the required branches by maintaining an allowed / disallowed list of branches.
• At the required branch, in the Treasury ICCB Rule Maintenance screen, the attributes for the rule are defined. Maintaining the attributes in this screen is subject to whether maintenance of ICCB rules is allowed for the branch.

To recall, at the branch head office, the user can create appropriate ICCB rules and make the rules available to the required branches.

This topic contains the following sub- topics:

• ICCB Rule Availability Maintenance
  This topic describes the systematic instruction to maintain the ICCB Rule Availability.
• Define Attributes of the Brokerage Rule
  This topic describes the systematic information to define Brokerage rules.
• Calculating Brokerage using a Tenor- Based Tier/Slab Structure
  This topic describes the brokerage calculation using a Tenor- Based Tier/Slab Structure.
• The Sequence in Which ICCB Rules are Resolved
  This topic describes how the ICCB Rules are resolved sequentially.