Define Restrictions Type Specifically for the Product

1.2.12.1 Define Restrictions Type Specifically for the Product

Use Securities Portfolio Instrument Restrictions to define the restriction type specific for the product.

If you do not associate a restriction class to the product, you can specify security restrictions. The procedure for defining restrictions is described below.

Specify the Security Product Security Access details.

For detailed explanation on the fields, refer to the below table.

Table 1-12 Field Description

Field	Description
Restriction Type	You can specify security restrictions either in the form of an allowed or disallowed list. Indicate whether you are maintaining an allowed or a disallowed list type, by choosing the appropriate option under the field Restriction type. When you set up security restrictions, the securities that do not figure in the allowed list cannot be traded with. If you have maintained a disallowed list, securities that do not figure in it can be involved in deals linked to the product.
Exempting Specific Securities from a List	You can exempt a particular security from the restriction specified for the product with which the security is associated. All the securities associated with securities product will be displayed in the Security ID column under Security Access. You can choose to Allow or Disallow a specific Security by choosing the appropriate option, under Restriction Type. For example, you have maintained a Securities Product for Short Term Zero Coupon Bonds and have assigned it a product a code SZC1. You have entered five zero coupon bonds under this product with the following Security IDs: SEC01, SEC02, SEC03, SEC04, and SEC05. You are maintaining a Securities Restrictions Class, SE_CUS_PR1. You include SZC1 in the allowed list that you maintain for the class. By default, all securities entered against this product will be allowed. Requirement: You would like to disallow a specific security, SEC05. Choose the securities product, SZC1, in the Allowed column that you have maintained. All securities maintained under SZC1 will be displayed in the Security ID column, under Security Access. Move to the security SEC05 in the Security ID column. In the Restriction Type column corresponding to SEC05, choose the disallowed option. Result: When you associate the restriction class SE_CUS_PR1 with a portfolio product, say CP01, you can deal in all securities involving SZC1, except the security SEC05.

Field

Description

Restriction Type

You can specify security restrictions either in the form of an allowed or disallowed list. Indicate whether you are maintaining an allowed or a disallowed list type, by choosing the appropriate option under the field Restriction type.

When you set up security restrictions, the securities that do not figure in the allowed list cannot be traded with. If you have maintained a disallowed list, securities that do not figure in it can be involved in deals linked to the product.

Exempting Specific Securities from a List

You can exempt a particular security from the restriction specified for the product with which the security is associated.

All the securities associated with securities product will be displayed in the Security ID column under Security Access. You can choose to Allow or Disallow a specific Security by choosing the appropriate option, under Restriction Type.

For example, you have maintained a Securities Product for Short Term Zero Coupon Bonds and have assigned it a product a code SZC1. You have entered five zero coupon bonds under this product with the following Security IDs: SEC01, SEC02, SEC03, SEC04, and SEC05.

You are maintaining a Securities Restrictions Class, SE_CUS_PR1. You include SZC1 in the allowed list that you maintain for the class. By default, all securities entered against this product will be allowed.

Requirement:

You would like to disallow a specific security, SEC05.

Choose the securities product, SZC1, in the Allowed column that you have maintained. All securities maintained under SZC1 will be displayed in the Security ID column, under Security Access.

Move to the security SEC05 in the Security ID column. In the Restriction Type column corresponding to SEC05, choose the disallowed option.

Result: When you associate the restriction class SE_CUS_PR1 with a portfolio product, say CP01, you can deal in all securities involving SZC1, except the security SEC05.

Parent topic: Securities Portfolio Instrument Restrictions