2.7.3 Commission and Charge Details Override for Swift Orders

This topic provides information on commission and charge details override for Swift orders.

The system will override the loads attached to the fund at the time of transaction capture through SWIFT. The system will also override all the loads, if multiple loads are found for From Entity Type and To Entity Type combinations. If any transaction is generated with warning messages, then the transaction will be generated unauthorized.

Note:

For those schemas where the Transaction Exception Management Queue is not enabled, transaction will be created as Authorised/ Unauthorised depending on maintenance in system and during the view of the transaction in Transaction Summary screen, the warning messages attached to the transaction can be viewed through Override Warning button available in the summary screen. This is applicable to all the schemas.

The price basis loads cannot be overridden as the price basis load gets calculated as per the fund formula setup. If such loads are maintained, then the system will not reject the transaction; also, the values in the tags will not override the price basis loads mapped to the fund.The derived loads cannot be overridden, for instance, AMC to Agent load derived from Unitholder to AMC load cannot be overridden. If such loads are maintained, then the system will not reject the transaction; also, the values in the tags will not override the derived loads mapped to the fund.

SWIFT Upload

The tags <ChrgDtls> and <ComssnDtls> will be extracted from the incoming order messages and will be used to override the loads attached to the fund. The segment level parameter which is currently used for generation of these tags in outgoing order confirmation messages will be re-used here for overriding.

If the parameter is turned ON, then the values of these tags will be used to override the loads attached to the fund and as well as the tags get generated in outgoing order confirmation messages.

If the parameter is turned OFF, then both the tags will not be used to override the loads attached to the fund and as well as the tags will not be generated in outgoing order confirmation messages.

The incoming messages which will be enhanced are:

• SubscriptionBulkOrderV04 (setr.007.001.04)
• SubscriptionOrderV04 (setr.010.001.04)
• SwitchOrderV04 (setr.013.001.04)
• RedemptionBulkOrderV04 (setr.001.001.04)
• RedemptionOrderV04 (setr.004.001.04)

For the incoming messages listed above, the tags <ChrgDtls> and <ComssnDtls> will be received by the system and will extract the values present in the sub tags <Tp>, <Amt> or < Rate>.

In switch order SwitchOrderV04 (setr.013.001.04) the tags <ChrgDtls> and <ComssnDtls> will be present both in the Redemption (Switch Out) and Subscription (Switch In) leg of the transaction.

The <Amt> or <Rate> tag value provided in the main tag <ChrgDtls> will be used to override the AMC commission from Unitholder. (Unitholder to AMC). That is, the system will override the discount to UH, if <Tp> present in the main tag <ChrgDtls> contain the value as DISC. And if the <Tp> contains the value as BEND/FEND then Unitholder to AMC commission will be overridden.

The <Amt> or <Rate> tag value provided in the main tag <ComssnDtls> will be used to override the Agent commission from Unitholder. (Unitholder to Agent). If the incoming message does not contain the tags <ChrgDtls> and <ComssnDtls> at all, then the loads will be not be overridden.

If the incoming message contain the tags <ChrgDtls> and <ComssnDtls> but with blank values in the sub tag <Rate> or <Amt>, then the loads will not be overridden. However, if they contain the value as 0 then the load values will be overridden as 0.

The commission for Unitholder to Agency Branch, Unitholder to Account Officer, Unitholder to IFA and Unitholder to Fund cannot be overridden with the help of the <ChrgDtls> and <ComssnDtls> tags, since they are out of scope of the requirement. The Loads or Derived Loads maintained in these combinations will be ignored.

If more than one Unitholder to AMC commissions load are mapped to the fund as part of Fund Load Maintenance, then all the mapped Unitholder to AMC loads will be overridden with the value present in the tag <ChrgDtls>. Since the system cannot determine which load to override, the system will override all the loads applicable to the transaction having From Entity as Unitholder and To Entity as AMC.

At the time of transaction capture, the system does not perform the criteria evaluation; hence it not possible to override the specific load mapped to the entity which satisfies the load criteria. However, the system will override all the loads mapped to the fund. At the time of allocation, only the loads satisfying the criteria will get calculated.

Similar to <ChrgDtls>, if more than one Unitholder to Agent commissions load are mapped to the fund as part of Fund Load Maintenance, then the all the mapped Unitholder to Agent loads will be overridden with the value present in the tag <ComssnDtls>.

The tags <ChrgDtls> and <ComssnDtls> must contain either <Amt> or <Rate> Sub tag. Both <Amt> and <Rate> cannot be present together. If both <Amt> and <Rate> tags are present in <ChrgDtls> or <ComssnDtls> tags, then system will reject the transaction. The Order Instruction Status message OrderInstructionStatusReportV04 (setr.016.001.04) will be generated with the error code as FEEE.

If the tags <ChrgDtls> and <ComssnDtls> contain <Amt> and the load to be overridden is a percentage based load, then the transaction will be rejected. The Order Instruction Status message OrderInstructionStatusReportV04 (setr.016.001.04) will be generated with the error code as FEEE.

The <Tp> tag can contain the values of :

• BEND
• FEND
• DISC

The transaction will be rejected if any other value is provided.

The <Tp> tag can contain the values of BEND alone in the redemption orders and switch out leg of the switch order. If system receives values other than BEND, in the redemption order or redemption leg of the switch message, then the transaction will be rejected with the rejection code as FEEE.

The <Tp> tag can contain the values of FEND alone in the redemption orders and switch out leg of the switch order. If system receives values other than FEND, in the subscription order or subscription leg of the switch message, then the transaction will be rejected with the rejection code as FEEE.

The <Tp> tag can contain the values as DISC in all the order messages.

If the <Tp> tag present in the main tag <ChrgDtls> contains the value as DISC then the discount load from AMC to Unitholder will be overridden. However if <Tp> tag <ComssnDtls> contains the value as DISC, then no action is performed.

It is possible that both the <ChrgDtls> and <ComssnDtls> tag or any one of them can be present in the order messages.