Book Open Trades for Total Return Swaps

To manually book an open trade for a total return swap contract, pay leg, and receive leg:

1. In the Accounting Center, in the left navigation pane, click Transactions > Trades > Book Trade/Rebook Trade > Book Trade.
   You see the Book Trade workspace.

2. Complete the options in the Search Details pane and click Search.
   You see the search results based on the criteria you selected.

3. Select the row with the security you want to trade.

4. On the Book Trade tab, in the Actions group, click Action Rules, point to Open, and then click Open Swap Contract.
   You see the Open Total Return Swap panel.

5. Complete the contract, pay leg, and receive leg options on the Open Total Return Swap panel.
   Options available for the legs vary depending on the value you selected at the security level for the Notional Reset Type field. If you selected a value of Recalc Notional for this field, you can enter the shares and price for each leg, which determines the notional amount on the finance leg. If you selected a value of Constant Notional for this field, after you enter the notional value and price for the leg, the panel calculates the shares.
   The example that follows shows how multiple legs are displayed on the Open Total Return Swap panel. Once you enter the basic trade details, the multi row pane at the bottom of the panel opens.

   Open

   

   The panel refreshes when you click the contract, pay leg, or receive leg rows in the multi row pane.

6. Click Submit.
   Once the trade is booked, it follows all core accounting processes. The system uses the core cost tags to store the notional cost values at the position, open, and close Cost object levels for the equity leg of total return swaps.