A.4.1 SR Reverse Repo with True Discounted Interest
The preferences set for this product are as follows:
- The payment type for this product is of True Discounted type
- Forward dating is allowed for the product
- Brokerage is not payable
BOOK: Booking
The following are the accounting entries:
Table A-5 Accounting Entries
| Accounting Role | Amount Tag | Dr./Cr. Indicator |
|---|---|---|
| CHARGINC | CHARG | Credit |
| CUSTOMER | CHARG | Debit |
| FWDASSETOFF | PRINCIPAL_FWD | Credit |
| FWDASSETGL | PRINCIPAL_FWD | Debit |
| BROKEXP | BROKAMT | Debit |
| BROKPAY | BROKAMT | Credit |
The following are the advice entries:
Table A-6 Advices
| Advice Name | Description |
|---|---|
| MM_DEAL_SLIP | Deal Slip |
| SWIFT_MESSAGE | MT320, MT330, MT335, MT350 |
| MMCONPLA | SR Reverse Repo Confirmation |
INIT: Initiation
The following are the accounting entries:
Table A-7 Accounting Entries
| Accounting Role | Amount Tag | Dr./Cr. Indicator |
|---|---|---|
| INTERRIA | INTER_LIQD | Credit |
| CUSTOMER | INTER_LIQD | Debit |
| ASSETGL | PRINCIPAL | Debit |
| CUSTOMER | PRINCIPAL | Credit |
| FWDASSETGL | PRINCIPAL_FWD | Credit |
| FWDASSETOFF | PRINCIPAL_FWD | Debit |
| FWDASSETGL | PRINCIPAL_FWD | Debit |
| FWDASSETOFF | PRINCIPAL_FWD | Credit |
| ASSETGL | PRINCIPAL_ROIN | Debit |
| ROLL_WASH | PRINCIPAL_ROIN | Credit |
| ASSETGL | PRINCIPAL_ADDL | Debit |
| CUSTOMER | PRINCIPAL_ADDL | Credit |
The following are the advices:
Advices - Payment Message
Table A-8 Advices - Payment Message
| Advice Name | Description |
|---|---|
| MM_CONT_ADV | Contract Advice |
| NA | NA |
ACCR: Interest Accrual
This topic provides the details of Accounting Entries:
Interest Accrual
Table A-9 Accounting Entries
| Accounting Role | Amount Tag | Dr./Cr. Indicator |
|---|---|---|
| INTERINC | INTER_ACCR | Credit |
| INTERRIA | INTER_ACCR | Debit |
| PENL1INC | PENL1_ACCR | Credit |
| PENL1REC | PENL1_ACCR | Debit |
There are no advices entries.
Any accrual based on negative interest rate or negative amount is done at negative component level. Main interest component continues to support positive interest rate or positive amount based accrual.
Accrual amounts for negative interest component are posted with absolute value. Accrual adjustments retain the sign of the adjustment amount.
Table A-10 Securities Reverse Repo Deal
| Accounting Role | Dr/Cr | Amount Tag |
|---|---|---|
|
Main Interest CompREC |
DEBIT |
Main Interest Comp_ACCR |
|
Main Interest CompINC |
CREDIT |
Main Interest Comp_ACCR |
|
Negative Interest CompEXP |
DEBIT |
Negative Interest Comp_ACCR |
|
Negative Interest CompPAY |
CREDIT |
Negative Interest Comp_ACCR |
Table A-11 Securities Repo Deal
| Accounting Role | Dr/Cr | Amount Tag |
|---|---|---|
|
Main Interest CompEXP |
DEBIT |
Main Interest Comp_ACCR |
|
Main Interest CompPAY |
CREDIT |
Main Interest Comp_ACCR |
|
Negative Interest CompREC |
DEBIT |
Negative Interest Comp_ACCR |
|
Negative Interest CompINC |
CREDIT |
Negative Interest Comp_ACCR |
LIQD: Liquidation
This topic provides the details of Accounting Entries:
Liquidation
Table A-12 Accounting Entries
| Accounting Role | Amount Tag | Dr./Cr. Indicator |
|---|---|---|
| PENL1REC | PENL1_LIQD | Credit |
| CUSTOMER | PENL1_LIQD | Debit |
| ASSETGL | PRINCIPAL_LIQD | Credit |
| CUSTOMER | PRINCIPAL_LIQD | Debit |
This topic provides the details of Advices Entries
Table A-13 Advices
| Advice Name | Description |
|---|---|
| SWIFT_MESSAGE | MT320, MT330, MT335, MT350 |
| PAYMENT_MESSAGE | Payment Message |
Liquidation amounts for negative interest component are posted with absolute values.
Maintain the following accounting entries for product allowing negative rates for liquidation of the interest amount:
Table A-14 SR Reverse Repo Deal- For liquidation of interest
| Accounting Role | Dr/Cr | Amount Tag |
|---|---|---|
|
Customer |
DEBIT |
Main Interest Comp_LIQDM |
|
Main Interest CompREC |
CREDIT |
Main Interest Comp_LIQD |
|
Negative Interest CompPAY |
DEBIT |
Negative Interest Comp_LIQD |
|
Customer |
CREDIT |
Negative Interest Comp_LIQD |
If you check the ‘Net Negative Interest‘ checkbox at product level, then customer credit or debit leg amounts are netted internally, provided the customer’s settlement account is the same for both legs
VAMB: Value Dated Amendment Booking
There are no accounting entries.
The following are advices entries:
Value Dated Amendment Booking
Table A-15 Advices
| Advice Name | Description |
|---|---|
| MMAMDADV | Amendment Advice |
| NA | NA |
VAMI: Value Dated Amendment Initiation
There are no accounting entries.
The following are advices entries:
Value Dated Amendment Initiation
Table A-16 Advices
| Advice Name | Description |
|---|---|
| SWIFT_MESSAGE | MT320, MT330, MT335, MT350 |
| NA | NA |
CAMD: Contract Amendment
There are no accounting entries.
The following are advices entries:
Contract Amendment
Table A-17 Advices
| Advice Name | Description |
|---|---|
| SWIFT_MESSAGE | MT320, MT330, MT335, MT350 |
| NA | NA |
REVN: Rate Revision
There are no accounting and advices entries.
SGEN - Settlement Message Generation
No entries are passed for this event.
Only Payment Message can be maintained for this event.
This is applicable for all types of deals.
REVC: Reversal
There are no accounting entries.
The following are advices entries:
Reversal
Table A-18 Advices
| Advice Name | Description |
|---|---|
| SWIFT_MESSAGE | MT320, MT330, MT335, MT350 |
| NA | NA |
ROLL: Rollover
The following are accounting entries:
Rollover
Table A-19 Accounting Entries
| Accounting Role | Amount Tag | Dr./Cr. Indicator |
|---|---|---|
| PENL1REC | PENL1_LIQD | Credit |
| CUSTOMER | PENL1_LIQD | Debit |
| CUSTOMER | PRINCIPAL_LIQD | Debit |
| ASSETGL | PRINCIPAL_LIQD | Credit |
| CUSTOMER | PRINCIPAL_LIQD | Debit |
| ASSETGL | PRINCIPAL_LIQD | Credit |
| CUSTOMER | <Interest_Component>_LIQD | Debit |
| Interest_componentREC | <Interest_Component>_LIQD | Credit |
| ROLL_WASH | PRINCIPAL_ROLL | Debit |
| ASSETGL | PRINCIPAL_ROLL | Credit |
| ROLL_WASH | <Interest_Component>_ROLL | Debit |
| Interest_componentREC | <Interest_Component>_ROLL | Credit |
Table A-20 SR Reverse Repo Deal - For Rollover of Interest
| Accounting Role | Dr/Cr | Amount Tag |
|---|---|---|
|
ROLL_WASH |
DEBIT |
Main Interest Comp_ROLL |
|
Main Interest CompREC |
CREDIT |
Main Interest Comp_ROLL |
|
Negative Interest CompPAY |
DEBIT |
Negative InterestComp_ROLL |
|
ROLL_WASH |
CREDIT |
Negative InterestComp_ROLL |
Table A-21 SR Repo Contract
| Accounting Role | Dr/Cr | Amount Tag |
|---|---|---|
|
Main Interest CompPAY |
DEBIT |
Main Interest Comp_ROLL |
|
ROLL_WASH/Liability GL |
CREDIT |
Main Interest Comp_ROLL |
|
ROLL_WASH/Liability GL |
DEBIT |
Negative InterestComp_ROLL |
|
Negative Interest CompREC |
CREDIT |
Negative InterestComp_ROLL |
The following are advices entries:
Table A-22 Advices
| Advice Name | Description |
|---|---|
| MM_ROLL_ADV | Rollover Advice |
| SWIFT_MESSAGE | MT320, MT330, MT335, MT350 |
Cash Margin
The following are event entries:
Table A-23 Cash Margin - Events
| Event Code | Event Description |
|---|---|
|
CMPY |
Cash Margin Pay |
|
CMRV |
Cash Margin Receive |
Cash Margin - Accounting Entries
The following are accounting entries:
Table A-24 Cash - Margin Accounting Entries
| Accounting Role | Amount Tag | Dr/ Cr |
|---|---|---|
|
CUSTOMER_AC (Margin AC) |
TXN_AMOUNT |
Dr |
|
CUST_AC_OFFSET (NOSTRO) |
TXN_AMOUNT_EQ |
Cr |
|
CUST_AC_OFFSET (NOSTRO) |
TXN_AMOUNT |
Dr |
|
CUSTOMER_AC (Margin AC) |
TXN_AMOUNT_EQ |
Cr |
Parent topic: Event-wise Accounting Entries and Advices