10.10 Product Code- SRHC
SRHC – SR -SR RFR SONIA – Reverse Repo - Floating Rate
Business Scenario
SRHC is configured with Risk Free rates where rates are published based on the percentile and Volume of Transactions. For RFR Interest re-computation is required to be done daily. Security Reverse Repo SRHC is parametrized with following features.
Synopsis (ex. High level features etc.)
- Short Term Debt instrument.
- It is backed by collateral of securities.
- The instrument is issued at a Bearing.
- SRHC product is configured with Alternate Risk Free Rate preference as Lookback Method but it can be changed to below combination methods as well:
- Lockout & Payment Delay
- Lookback & Payment Delay
- Lockout
- Lookback, Lockout, and Payment Delay
- SRHC product has a minimum and maximum rates configured
Detailed Coverage
SRHC Securities Reverse Repo covers the following features,
Table 10-29 Detailed Coverage
Detailed Coverage | Description |
---|---|
Type of the Product | Reverse Repo |
Payment Method Covered | Bearing Payment |
Accrual Covered | Daily Accrual |
Liquidation |
|
Rollover of Deal | New Version Rollover |
Interest Rate details | Floating Rate Interest |
Schedule |
|
Maturity Type | Fixed Maturity |
Forward Date Deal | Forward Date Deal allowed |
Events Covered
Product SRHC has the Life Cycle of Commercial Paper as listed below:
Table 10-30 Events
Events Covered | Terminology |
---|---|
BOOK | Booking of contract |
INIT | Contract Initiation |
LIQD | Contract Liquidation |
ROLL | Rollover of Contract |
REVC | Contract Reversal |
CAMD | Contract Amendment |
CONF | Confirmation of contract |
REAS | Reassign User |
REVP | Reversal of Payment |
VAMB | Value Dated Amendment Booking |
ACCR | Contract Accrual |
FACR | Fee Accrual |
FELR | Fee Liquid |
NOTC | Billing Notice Generation |
SGEN | Settlement Message Generation |
STCH | Status Change |
Advices Supported
Following Advices setup done in the SRHC Product as part of Product Life Cycle:
Table 10-31 Advices
Advices | Description |
---|---|
SWIFT_MESSAGE | MT320,330, MT350 |
PAYMENT_MESSAGE | Payment Message |
Messages
Table 10-32 SWIFT Messages
SWIFT Messages | Contract Field |
---|---|
MT 320 | Fixed Contract Confirmation |
MT 350 | Deposit Interest Payment Advice |
MT 210 | Payment Message |
MT 335 | Call/Notice Rate Change Advice |
Generic Features
Repo Product SRFD features includes:
- Deal Booking
- Forward date Deal Allowed
- Holiday period treatment
- Counterparty Confirmation
- Capturing of UDE values
- Liquidation of Deal– Auto / Manual
- Deal Amendment
- Reversal of Deal
- Floating Rate Interest
- IAS 39 Based Accrual
- Partial Liquidation of the deal
- Interest Schedule
- Fixed Maturity
Interest / Charges / Commission & Fees
Interest
In SRHC product is parametrized with following Interest component. SR_RFGBP– interest class
Special/Other Features
Other Features
- Interest Calculation Basis – Actual/Actual
Additional information (ex. UDF & other Special Maintenance)
As part of SRHC Product Setup there is option available to capture other details about the deal or the parties involved using UDF Maintenance.
Other Special Maintenance
- SR Branch Parameter
- Messaging Parameter
- Local Holidays
- SR Batch Maintenance
- Floating Rate Maintenance
- Interest Class Maintenance
- RFR Rate Input
Parent topic: Product Catalog - Treasury Securities Repo Instrument