PURPOSE
This document explains how to create a foreign exchange outright.
PROCEDURE
1. From the main menu, select Transaction > Foreign Exchange. The screen below is displayed.
2. Click on Action and select New Outright. The New Foreign Exchange Outright screen launches.
3. Fill in the mandatory fields characterized by the asterisk (*) symbol.
4. Accounting centre would have been defaulted to the user’s accounting centre. If not, it would be left blank. Select the proper Accounting Centre from the dropdown.
5. Input the transaction date in the TDate field. It is defaulted to the system date. You may change it to an earlier date.
6. Enter the value date in the VDate field. The VDate must be on or after the TDate.
7. In the Transaction field, select Buy or Sell. In this example, Buy will be selected.
8. Select the transaction currency from the dropdown in the Ccy field. In this example, USD will be used.
9. Input the transaction currency amount.
10. In the Against Ccy field, choose the currency that will be exchanged for the chosen currency in the Ccy field. In this example, SGD will be used.
11. Enter the Spot Reference Rate.
12. Enter the forward points, if any, for forward contracts. For spot FX, leave the forward points as 0.
13. Click on the Recomp button next to the Countervalue field. The system automatically computes for the Contract Rate and Countervalue.
14. Next, click on the Recomp button next to the Facility field. This will populate the facility in the drop down list.
15. Select the preferred facility from the dropdown. As you do this, the system will recompute the available limit for the facility chosen, and the trade counterparty will be populated in the Counterparty ID field.
16. At this point, the transaction can already be booked. However, if the Show Advance tick box is checked, additional fields appear. These are non-contractual details that you may maintain in the system.
17. In this example, since the fields are optional, they will be skipped.
18. The system also allows comparative quotes of other counterparties to be maintained for the transaction.
19. Select the Counterparty from the dropdown. In this example, DBS-SG will be chosen.
20. Enter the comparative rate in the Rate field. Click Add. The comparative quote will appear on the right side.
21. Click Book to complete the transaction. When a pop up appears, click Yes.
22. To view the newly created Foreign Exchange transaction, select the Acct Cntr and VDate Fr. Click on Refresh. The new FX outright created will be displayed.
FREQUENTLY ASKED QUESTIONS
FAQ01. I cannot create an FX outright.
Authorization is needed to create FX outright. Contact your administrator to grant you rights 11712 New Foreign Exchange Outright (basic), and 11719 New Foreign Exchange Outright (advance).
RELATED INFORMATION
CHANGE HISTORY
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