3.35.4 Pre-processing Validations

This topic provides information on pre-processing validations details.

Table 3-71 Checks - Validations

Checks	Validations
Unauthorized fund-related static maintenances	This check reports the unauthorized fund-related static maintenances, with respect to any of the maintenances mentioned below. It is a mandatory check and processing cannot continue till the check is successful. Fund rules Group definition Fund price Fund account Fund agency branch backdating limit Periodic load Fund holiday Fund dividend Fund sub-account General Ledger Interface setup Withholding tax setup Switch privilege list setup Fund sale restrictions
Broker Commission Processing	This check reports any pending commission (commission accrued but not adjusted). It is an optional check; the information is for reporting only, and will not block further processing of the corporate action.
Pending Transactions	This check reports transactions pending processing at any stage of the transaction life cycle, such as the following: Unauthorized transactions Incomplete (due to exchange rate or payment) Allotted but not settled Unconfirmed global orders Unprocessed / unauthorized SWIFT transactions Valid Limit orders which have not been executed Unauthorized overridden loads All such transactions must be either allotted and settled, or, alternately, reversed. Alternately, they would need to be reversed. Limit orders must be reversed; if not, processing of the corporate action marks these as EXPIRED. All SWIFT transactions must also be processed or deleted. This is a mandatory check and processing cannot continue till the check is successful.
Unprocessed Dividend or Reinvestments	This check reports unprocessed dividend or reinvestments, which would include dividends declared but not processed, so that appropriate action can be taken. It is an optional check; the information is for reporting only, and will not block further processing of the corporate action.
Trailing Commission	This check reports any accrued trail commission (trail commission for the period between the last processed date to the corporate action date), so that it can be cleared manually. The load id of the trailing commission is reported. It is an optional check; the information is for reporting only, and will not block further processing of the corporate action.
Standing Instructions	This check reports the following: Standing instructions for which action has not been taken after first reminder generation. (A warning is displayed) Standing instructions for which action has not been taken after last reminder generation. (A warning is displayed) Standing instructions which are generating on corporate action date This is a mandatory check and must be successful for processing of the corporate action to continue.
Unconfirmed Redemption Transactions	This check reports the number of redemption transactions for which confirmations are due. It is a mandatory check and must be successful for processing of the corporate action to continue.
Funds that do not Retain Ageing to Subscription	For a corporate action triggered from an existing ISIN to a different ISIN, the ageing of units is based on the parameter Retain Ageing to Subscription set in the Transaction Processing Rules for the fund. If this parameter is not indicated as true for the resultant fund for the Switch In transaction type, a warning is displayed.
Funds those are not Active for Corporate Action Processing	For a corporate action triggered from an existing ISIN to a different ISIN, the system checks that the resultant ISIN is effective as of the corporate action date. If not, an appropriate message is displayed. This is a mandatory check and must be successful for processing of the corporate action to continue.
Number of Special Deals for the Fund	If any unit holder deals exist for the fund, a warning is displayed. This is an optional check.
Number of Letters of Intent (LOI) for the Fund	If any Letters of Intent (LOI) exists for the fund, a warning is displayed. This is an optional check.
Number of Income Distribution Setups (IDS) in the Fund	This check reports the number of reinvestments set up into the fund. This is an optional check.
Number of Interface Definitions to which the Fund belongs	If the fund belongs to any of the parameters defined for any interface definition in the system, a warning is displayed. This is an optional check.
Number of Jobs to which the Fund belongs	If the fund belongs to any one or many of the job parameters defined for any job definition in the system, a warning is displayed. This is an optional check.
Funds for which Holding Period is applicable	If a holding period has been designated as applicable for the fund, a warning is displayed. This is an optional check.
Funds with Minimum Registered Capital greater than Zero	If the minimum registered capital of the fund exceeds zero, an appropriate message is displayed. his is a mandatory check and processing of the corporate action cannot continue if it is unsuccessful.
Maintenance of Switch Out Transaction Type for the From Fund	For corporate actions involving different parent and resultant funds, the system checks that the Switch Out transaction type has been maintained and is allowable for the From fund. This is a mandatory check and processing of the corporate action cannot continue if it is unsuccessful.
Maintenance of Switch In Transaction Type for the To Fund	For corporate actions involving different parent and resultant funds, the system checks that the Switch In transaction type has been maintained and is allowable for the To fund. This is a mandatory check and processing of the corporate action cannot continue if it is unsuccessful.
Funds for which Fractional Balances are not Allowed, with rounding rules other than Truncate	In case fractional units need to be paid out in the resulting fund, the system checks that the rounding options in the General Operating Rules must be set to Truncate. If this has not been set for the resultant fund for the Switch In transaction type, an appropriate warning message is displayed. This is a mandatory check and processing of the corporate action cannot continue if it is unsuccessful.