8.7.1 Contents of the Accrual Control Journal

The memo accrual function will give you the latest accrual amounts for all components of a live deal without actually passing the accrual entries. The memo accrual function generates the Memo Accrual Control Journal that reports the accrued amounts for the various components of the deal, (like interest, commission, charge or fee) that are due on each deal as of the current system date.

Intra Day Accruals

The Intra Day Accruals is a batch process that computes accruals for different kinds of investments made by funds. This batch includes processing of fixed asset depreciation. The intraday accruals / depreciation are performed only for those products for which accruals / depreciation cycle is due for the day. In case of inter-fund subscriptions, the system does not calculate the profit for the investing fund.

This is an intra day process that is applicable only to fund branches. Intra Day Accruals work in line with the normal end of day accruals.

Intra day accrual will process in the same manner as an End of Day (EOD) batch. However, there are some exceptions as listed below:

• In case of components linked to floating rates, the intraday accruals are processed at the prevailing rates while the EOD accruals are processed at revised rates.
• If there are any payment schedules due, which are not liquidated, then compensation accruals are processed during intraday accruals. On manual liquidation of the schedule after the intraday accruals, excess compensation accrued is reversed. If the finance is in PDO status, the accrual entries are posted to the corresponding GL maintained for the product. After manual liquidation, if the status returns to normal then accrual is reversed from GL to PDO status.
• If any back dated rate change or principal increase occurs, the system performs catch accruals till the last working day. If such an operation is performed after the intra day batch is processed the catch up accrual occurs till system date or (next working day -1), depending on the branch parameter settings for accruals.