This form is used to enter non-standard loan/deposits wher each loan/deposit has a unique structure.
- Go to Deal input/ Fixed/Floating Rate Loan.
- Create a new contract
Choose a name and press OK. The new contract Wizard will be shown. Enter Legal entity, counterpart and base data concerning the loan. Complete the registration by adding portfolio codes.
Description Annuity method If checked the annuity method is used to calculate amortisations. Used in conjunction with the field Annuity amount. Amortizing loan If checked amortisation structure can be entered Residual Method If checked amortisation amount is calculated as a percentage of each remaining capital amounts. The percentage is entered in field Residual without % sign, for example 5% is entered as 5. The Residual amount should be equal to the capital amount. Bank Holidays Reg Add extra bank holiday calenders. Default bank holiday calenders: Currency of the deal and the local currency of the entity. No trans Not used. No Tranche number L D Enter L for a Loan, D for a Deposit, C for current accounts. Begin / End Enter the begin date (value date) and end date (Final maturity date) for the contract. Cur Select currency from list box FX rate FX rate against Legal entity accounting currency. B day convention Decides how to treat transactions falling on a bank holiday.
Following - If payment is due on a bank holiday the date is moved forward to the next valid bank day.
Mod follow - If the payment is due on a bank holiday the date is moved forward to the next valid bank day. But if it is a new month the date is moved back to the first preceding valid bank day.
Preceding- payment date is moved back to previous valid bank day.
IMM- the third Wednesday in each quarter
Adj If checked maturity date and payment date are adjusted according to B day convention. If not checked only payment date is adjusted. Capital amount This is the capital amount per start of period. The amount you enter is automatically set to minus if it is a liability leg. Annuity/ Amortisation/ Residual Depending on which , if any, checkbox is filled in.
If the field is grey, it is a bullet loan and the final repayment should be the same as the capital amount and is filled in automatically.
Period Enter the amortisation period (for amortisation) First Roll d Date for the first amortisation transaction. (for amortisation) Yield curve/ Yield curve fixing/ discount curve Yield curve is used for market valuation and interest fixing via Confirm start.
Note! If not "-IBOR" rates are included in the selected Yield curve then use Yield curve fixing.
Discount curve should be used for market valuation if you would like to add actual credit margin. The discount curve must be defined as a Yield curve (YC) in the system.
Type Enter if interest rate is Fixed or Variable Period Enter the interest period (for interest payment) Interest ConvEnter the convention relevant for the instrument.
If “Act/365” is specified, the actual number of days in the Calculation Period or Compounding Period in respect of which payment is being made divided by 365;
If “Act/360” is specified, the actual number of days in the Calculation Period or Compounding Period in respect of which payment is being made divided by 360;
If “30e/360” or “Eurobond Basis” is specified, the number of days in the Calculation Period or Compounding Period in respect of which payment is being made divided by 360 (the number of days to be calculated on the basis of a year of 360 days with 12 30/day months, without regard to the date of the first day or last day of the Calculation Period or Compounding Period unless, in the case of the final Calculation Period or Compounding Period, the Termination Date is the last day of the month of February, in which case the month of February shall not be considered to be lengthended to a 30/day month).
If “30u/360” or “Eurobond Basis” is specified, the number of days in the Calculation Period or Compounding Period in respect of which payment is being made divided by 360 (the number of days to be calculated on the basis of a year of 360 days with 12 30/day months. Each month is assumed to have 30 days, with an exception that if the last day is the 31st and the first day is not 30th or 31st then that month has 31 days
ACT/ACT ICMA if you choose ACT/ACT you can check ICMA. ICMA means that all coupon payments are the same amount
ICMA Can only be used together with Interest conv Act/Act.
Floor base/ Floor tot Base interest can not be below zero / Total interest ( base + spread) can not be below zero. Base interest Enter interest base for example STIBOR3M. Just an information field. Note! On tranches of type 'C' (Current accounts) this field is entered after the contract is created (directly on the tranche line). Base Int% Enter interest rate without spread for the transaction Spread +/- % Margin which will be added to the Base Int %. Note! On tranches of type 'C' (Current accounts) this information is entered after the contract is created. Click on the 'Check Limit' button and enter Debit and Credit spread. Interest % Enter interest rate including spread for the transaction
First Roll d Date for the first interest payment First broken / last Only used with variable interest type. Is checked if the first/last interest transaction is shorter or longer than the selected interest period. The fixing for the broken period must be done manually T If checked other cost/revenues is calculated as VAT and with holding tax. Oth C/R % / Oth C/R amount Enter % other costs/revenues or an absolute amount LDOP If checked, roll date will be last day of period Man Fix If checked interest fixing will be done manually and will not be updated automatically in confirm start Fix days Number of fixing days ( business days). Default is is set to 2 days. Bank acc 1/ Bank acc 2 Specifies the bank account used on value date ( bank acc 1) and maturity date ( bank acc 2). Note! if bank acc 2 is omitted bank acc 1 will be used on maturity date.
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