Book Journal to Cover Trades for Equities

Owned by Tom Fahey (Unlicensed)
Last updated: Oct 26, 2016 by Former user (Deleted)
4 min read

In the Journal to Cover panel, you can merge a long and short position for the same asset/entity combination into one position.

To manually book a journal to cover trade for an equity security:

  1. From any Eagle window, click the Eagle Navigator button to access the Eagle Navigator.
  2. Enter Book Trade in the Start Search text box.
  3. Click the Book Trade (Accounting Center) link to access the Book Trade tool.
    You see the Query window as the default.
  4. Complete the options in the Query window and click Start Search.
  5. Select the row with the security you want to trade.
  6. Click Other and click Journal to Cover.
    You see the Journal to Cover panel.
  7. Complete the options on the Journal to Cover panel.
  8. Click Submit.

Journal to Cover Panel Options

The following are the options in the Journal to Cover panel. Note options may vary according to your selections.

Entity Information

The following are the options for entity information:

  • Entity ID (tag 1163). Specifies the unique identifier of the entity.
  • Entity Name (tag 1164). Specifies the name of the entity.
  • Base Currency (tag 86). Displays the base currency of the entity.

Long Position Information

The following are the options for long position information:

  • Trade Date (tag 35). Specifies the effective date of the trade. The trade date cannot be greater than the post date, accounting date, or settlement date.
  • Accounting Date (tag 36). Specifies the date the trade is reported and has an effect on the entity's holdings and cash balances. The accounting date must be greater than the trade date.
  • Monthly Accounting Date (tag 4733). Displays the month end accounting date.
  • Settlement Date (tag 37). Specifies the date the trade is settled.
  • Event Type (tag 55). Displays the business intent of the transaction.
  • Xref Type (tag 1234). Displays the cross reference type associated with the security.
  • Xref ID (tag 1233). Specifies the cross reference identifier associated with the security.
  • Issue Name (tag 961). Specifies the name of the security.
  • Ticker (tag 13). Specifies the trade ticker of the security.
  • Primary Asset ID (tag 14). Specifies the primary asset identifier associated with the short position.
  • Long/Short Indicator (tag 355). Displays an L to indicate the position is long.
  • Instrument Type (tag 353). Displays the instrument type.
  • Security Type (tag 371). Displays the security type of the asset.
  • Issue Currency (tag 360). Displays the local currency of the security.
  • Position Quantity (tag 159). Displays the current quantity of the position.
  • Transfer Quantity (tag 366). Specifies the quantity that is being transferred from the source position.

Short Position Information

The following are the options for short position information:

  • Issue Name (tag 1173). Specifies the name of the security.
  • Issue Symbol (tag 313). Specifies the trade symbol of the security.
  • Primary Asset ID (tag 314). Specifies the primary asset identifier associated with the short position.
  • Long/Short Indicator (tag 305). Displays an S to indicate the position is short.
  • Instrument Type (tag 303). Displays the instrument type.
  • Security Type (tag 321). Displays the security type of the asset.
  • Issue Currency (tag 310). Displays the local currency of the security.
  • Position Quantity (tag 122). Displays the current quantity of the position.
  • Transfer Quantity (tag 316). Specifies the quantity that is being transferred from the source position.

Settlement Information

The following are the options for settlement information:

  • Custodian Bank Name (tag 1146). Specifies the name of the custodian bank responsible for the trade.
    NOTE: You must establish a relationship between the custodian bank and your entity prior to booking the trade.
  • Custodian Bank Code (tag 1240). Displays the code of the custodian bank.
  • Custody Bank Account Number (tag 1660). Displays the custodian bank primary account number.
  • Custody Bank Subaccount (tag 1661). Displays the custodian bank subaccount number.
  • Settle Instructions 1 (tag 1897). Allows you to add settlement notes.
  • Settle Instructions 2 (tag 1898). Allows you to add settlement notes.
  • Settle Instructions 3 (tag 1899). Allows you to add settlement notes.
  • Settle Instructions 4 (tag 1900). Allows you to add settlement notes.
  • Settle Location (tag 43). Specifies the location in which the trade is settled.

Other Information

The following are the options for other information:

  • Transaction Notes (tag 56). Contains user defined information about the trade.
  • Original Trade Ticket Number (tag 761). Contains the trade ticket identification number. The system uses it during processing. For example, IDLOT close or cancel events use this number to locate an open lot.
  • Holding Term (tag 9091). Specifies the holding term for the trade based on the number of days between the original acquisition date (tag 216) and the maturity date (tag 35) on the lot. If you use ledger reporting based on ledger granularity rules to break out accounts by holding term, the system uses this value to identify the holding term for trades related to bonds and preferred stocks. Eagle Accounting's core transaction processing calculates the holding term for you, but you can manually override the value displayed in this field. Eagle Insurance clients that use ledger granularity rules have the system calculate the holding term based on the schedule associated with a lot. Options include:
    –  Short Term. Identifies a short term holding. If the Holding Term Method field (tag 11479) in the trade's accounting basis has a value of 90 days, a short term holding term is 91 days to a year. If the Holding Term Method field has a value of 3 months, a short term holding term is 3 full months to a year.
    –  Cash Equivalent. Identifies a cash equivalent holding. If the Holding Term Method field (tag 11479) in the trade's accounting basis has a value of 90 days, a cash equivalent holding term is 90 days or less. If the Holding Term Method field has a value of 3 months, a cash equivalent holding term is 3 full months or less.
  • Pending Trade Flag (tag 3695). Specifies whether the trade is eligible for pending trade processing prior to processing by the STAR accounting engine. If you use pending trade processing, the system can assign this value to incoming transactions that meet flagged position rule criteria. Or an incoming transaction can include this value. This field is hidden. Options include Y and N.
  • Pending Trade Status (tag 3720). Specifies the trade's transaction status for pending trade processing prior to processing by the STAR accounting engine. If you use pending trade processing, the system can assign a value of Pending to incoming transactions that meet flagged position rule criteria. Or an incoming transaction can include a value of Pending or a custom pending transaction status value defined in the PEND_TRD_STATUS code category. The default status is Pending if no status is provided. This field is hidden.
  • User Defined Priority (tag 2862). Specifies the user generated number that determines the event sub priority. That is, after the system accounts for the event sequence and corporate action sequence.