Processing and Managing Deals

This chapter provides an overview of deal processing and discusses how to:

Process deals.
Manage deals and portfolios.

Understanding Deal Processing

After entering all deal specifics and confirming that the deal status is correct, save the deal. If you haven’t entered information in a required field, an error message appears. Enter the required information, then save the deal. Depending on your configuration, selecting the Auto Position feature automatically creates a position update request. The request creates the required records for position management, accounting, and settlements.

In conjunction with position analysis, Deal Management checks the deals to ensure that they are not outside the limits that you’ve defined. If the deal violates these defined limits, you can also configure workflow to automatically notify a specified user or group.

Selecting the Submit for Preview check box on the Deal Detail page initiates workflow processing.

Processing Deals

This section discusses running the Deal Position Update process (TR_POSN). Once you process deals (either manually or automatically), you can also use the Cash Flows page to view the resultant cash flows.

For IRP and IR swap deals, you can review interest payment dates, amounts, and reset dates on the Interest and Payment Dates page. If the deal is amortized, this page shows the amortization schedule.

This section discusses how to:

Create position update requests.
Review estimated interest accruals.

Pages Used to Process Deals

Page Name	Object Name	Navigation	Usage
Deal Position Update	TRX_POS_UPD_REQ	Deal Management, Capture Deals, Deal Position Update	Create the required records for position management, cash flows, and accounting events for deals.
Estimated Interest Accruals	TRX_ACCR_INT_PNL	Deal Management, Capture Deals, Estimated Interest Accruals	Define date parameters to calculate and view estimated interest accruals for IRP and IR swap deals.

Creating Position Update Requests

Access the Deal Position Update page.

After you process deals, check Process Monitor for status information. If the Error status appears, research and correct the deals in error and rerun the process.

Process All Outstanding Deals	Select the option to process all unprocessed deals with a deal status of Open, Matured, or Sold / Bought Back. If you select Process All Outstanding Deals, you schedule the Position Update Request process to run on a daily basis and check the Process Monitor page to ensure that it runs successfully. Even if you have configured the system to automatically run the Position Update Request process when you save a deal, you should still schedule a position update request with the Process All Outstanding Deals option selected to ensure that all deals are correctly processed.
Process Open-ended Maturity	Select to process deals with open-ended maturity dates. The system checks if new future rows need to be built.
Process Specific Deal	Specify a deal for processing. If you select this option, you specify the business unit and the deal ID.

Reviewing Estimated Interest Accruals

Access the Estimated Interest Accruals page.

Important! This page reflects a deal's estimated interest spread over a specified time period; however, it is not an accurate representation of the actual discount and premium accounting. You determine the actual interest accrual calculations for a deal by the accounting templates that you define at the deal instrument level. The interest accrual functionality uses certain assumptions to calculate the displayed values. It does not use the accounting templates defined for the deal.

From Date and To Date	Define the date range in which to review interest accruals.
Standard Calendar	If you select this option, specify Daily, Monthly, Quarterly, or Weekly.
PS Detail Calendar (PeopleSoft detail calendar)	Select this option to specify a customized calendar for calculating interest accruals.

Managing Deals and Portfolios

You can group deals into portfolios and add new deals to the portfolio. Use the Portfolio Manager page to manage deals and their associated information from a central location.

This section discusses how to:

Group and view deal portfolios.
Manage deal portfolios.
Maintain deal portfolios.

Pages Used to Manage Deals and Portfolios

Page Name	Object Name	Navigation	Usage
My Portfolios	TRX_PORTFOLIO_FAV	Deal Management, Administer Deals, My Portfolios	Group deals into portfolios.
Update My Portfolios	TRX_PORTFLIO_FAV_A	Click Update My Portfolios on the My Portfolios page.	Select additional portfolios to add to the My Portfolios page.
Portfolio Manager	TRX_PORTFOLIO_DTL	Deal Management, Capture Deals, Portfolio Manager	Monitor groups of portfolios.
Deal Portfolios	TRX_PORTFOLIO_DEFN	Deal Management, Administer Deals, Deal Portfolios	Create a portfolio. Add new and view existing deals in a specified portfolio.

Grouping and Viewing Deals Portfolios

Access the My Portfolios page.

Update My Portfolios	Click to add portfolios to your grouping of portfolios on the My Portfolios page.
Portfolio ID	Click to navigate to the content of a particular portfolio.
Create a Portfolio	Click to create and add a portfolio to the page.
Search for a Portfolio	Click to access the Portfolio Manager page.

Managing Deals Portfolios

Access the Portfolio Manager page.

Portfolio

Click this link to access the Deal Portfolios page and edit the deal portfolio definition.

Deal ID

Click these links to access detailed information about specified deals that you grouped on the My Portfolio page.

Click the Display Cash Flows icon to view the Cash Flows page for the specified deal ID.

Click the Accounting Summary icon to search and view accounting information for the specified deal ID.

Click the Analytics of the Deal icon to view analytics information for the specified deal ID.

Add a Deal

Click to increase the holdings of the portfolio.

Maintaining Deal Portfolios

Access the Deal Portfolio page.

Update Portfolio

Click to search and add additional deals to a particular portfolio. Select the check box for a deal and click Update.

Calculate MTM (calculate mark-to-market)

Click to calculate the mark-to-market value of the entire portfolio.

Revaluation Currency

If the deals in the portfolio are of disparate currencies, specify a currency to which the deals can be revalued.

Note. The MTM value for the portfolio cannot be calculated if the portfolio contains deals of disparate currencies and a revalue currency is not specified.

Portfolio	Click this link to access the Deal Portfolios page and edit the deal portfolio definition.
Deal ID	Click these links to access detailed information about specified deals that you grouped on the My Portfolio page.
	Click the Display Cash Flows icon to view the Cash Flows page for the specified deal ID.
	Click the Accounting Summary icon to search and view accounting information for the specified deal ID.
	Click the Analytics of the Deal icon to view analytics information for the specified deal ID.
Add a Deal	Click to increase the holdings of the portfolio.