How to: Deal input FX Swap

Created by Erik Åkerlund, Modified on Mon, 20 Feb, 2023 at 2:28 PM by Erik Åkerlund

FX Swaps - both Spot/forward and forward/forward transactions are entered in Foreign Exchange Swaps. Uneven swap (when near and far leg have different amounts) can also be entered here. The form is divided into two sections, one for the near #1 Spot leg/forward leg and one for the far #2 Forward (outright) leg in the transaction.

Here's how it works:

Set up instrument data
Got to Deal input > Foreign Exchange Swaps
To enter a FX swap start by selecting an instrument from the list in the instrument field or type the name of the instrument.
Enter relevant fields for the FX swap deal, for details see the Reference/Commands below. Use the TAB key and the system will move the cursor to next relevant field. The registration form will make sure that all data necessary for dealing and processing is entered and that no invalid data is entered.
When the form is completed and saved with F10 the transaction can now be confirmed in Back Office.

Optional check boxes:

Create Mirror: Check to create a mirror deal with another counterpart, extra field will be shown in the form
Create Request: Only used by customers with Subsidiary version, check to create a request (check box can be hidden in System Parameters)

The IR fields are optional and can be used to calculate interest rate risk in a risk analysis. Enter the interest rate (IR) manually for one of the two currencies. The other one is calculated.

Field	Description
Maturity rate	Displays the Spot at maturity rate set in Back Office Confirm close.
IR diff	Is automatically calculated based on the swap points and the number of days (Non-enterable field).
IR fields	Are optional and automatically calculates interest difference based on the swap points and the number of days (Non-enterable field). It can be used to calculate interest rate risk in a risk analysis. Enter the interest rate (IR) manually for one of the two currencies. The other one is calculated. Note, you have to enter a yield curve in instrument data for the system to be able to automatically calculate the interest difference by pressing key F5.
Ext reference	If Field "Ext reference" is activated in system parameters, the external trading platform reference number will be shown e.g. FX all, 360T, SEB, Nordea, Handelsbanken ect.
Status	REG – Changes allowed. CONFIRMED/COMPLETED – No changes allowed. Displays the user who entered the deal and the date the deal got it´s current status.

Roll Over

The deal input form has a icon roll-over function for users to roll over swap transactions. The original transaction must have status confirmed in order to qualify for a Roll over. The system will copy the original transaction and reverse the buy and sell currencies in both spot and forward sections, update the date fields.