29.9 CDI Derivative Deal Input

This topic describes the systematic instructions for CDI derivative deal input.

1. On the Home page, type DCDDLONL in the text box, and click the next arrow.

   Credit Derivative Deal Input screen is displayed.

   Figure 29-31 Credit Derivative Deal Input

   
   Description of "Figure 29-31 Credit Derivative Deal Input"
2. On the Credit Derivative Deal Input screen, specify the details as required.

   For field description, see the below table

   Table 29-17 Credit Derivative Deal Input - Field Description

   Field	Description
   Nominal amount	Nominal amount of the contract. Caution: Ensure to provide this details if the price quote is spread or % spread.
   Equivalent Price	Price equivalent for Spread (BPS) or %Spread price quotation.

   For more information, see Process Securities Data Input Screen:

   • In case of Bank sell, if spread is lesser than (Premium rate of instrument/100) or spread% is lesser than 100 then it is considered as upfront fee income.
   • In case of Bank sell, if spread is greater (Premium rate of instrument/100) or spread% is greater 100 then it is considered as upfront fee expense.
   • In case of Bank buy, if spread is greater (Premium rate of instrument/100) or spread% is greater than 100 then it is considered as upfront fee income.
   • In case of Bank buy, if spread is lesser than (Premium rate of instrument/100) or spread% is lesser than 100 then it is considered as upfront fee expense.
   • In case of Bank sell, if Trade price is lesser than Current face value or Trade price% is lesser than 100 then it is considered as upfront fee expense.
   • In case of Bank sell, if Trade price is greater than Current face value or Trade price% is greater than 100 then it is considered as upfront fee income.
   • In case of Bank buy, if Trade price is lesser than Current face value or Trade price% is lesser than 100 then it is considered as upfront fee income.
   • In case of Bank buy, if Trade price is greater than Current face value or Trade price% is greater than 100 then it is considered as upfront fee expense.
   • For Bank sell, Deliver label value to be defaulted to against payment and receive label would be defaulted to free. The field would be available for amendment.
   • For Bank buy, Receive label value to be defaulted to against payment and deliver label would be defaulted to free. The field would be available for amendment.

   • The calculation to be followed for the price quote as trade price quotations is as below (if Nominal amount is not entered)
   • Nominal Amount = ((Trade price ~ Current face value)/100) * Deal Quantity*(Current face value/Initial face value).
   • Nominal Amount = (((Trade price%/Current face value) ~ Current face value)/100)*Deal quantity* (Current face value/Initial face value)
   • Nominal amount has to be optionally entered, if entered the same is used for tag Deal_Nominal Amt to be booked as contingent. It is mandatorily entered if the price quote is spread or % spread.
   • In case of Bank sell, if spread < (Premium rate of instrument/100) or spread% < 100 then it is considered as upfront fee income.
   • In case of Bank sell, if spread > (Premium rate of instrument/100) or spread% > 100 then it is considered as upfront fee expense
   • In case of Bank buy, if spread > (Premium rate of instrument/100) or spread% > 100 then it is considered as upfront fee income.
   • In case of Bank buy, if spread < (Premium rate of instrument/100) or spread% < 100 then it is considered as upfront fee expense.
   • In case of Bank sell, if Trade price < Current face value or Trade price% < 100 then it is considered as upfront fee expense.
   • In case of Bank sell, if Trade price > Current face value or Trade price% >100 then it is considered as upfront fee income.
   • In case of Bank buy, if Trade price < Current face value or Trade price% <100 then it is considered as upfront fee income.
   • In case of Bank buy, if Trade price > Current face value or Trade price% >100 then it is considered as upfront fee expense.
   • For Bank sell, Deliver label value to be defaulted to "against payment" and receive label would be defaulted to "free" and disabled for amendment.
   • For Bank buy, Receive label value to be defaulted to "against payment" and deliver label would be defaulted to "free" and disabled for amendment.

   This topic has the following sub-topic:

• Contract Level Message Generation