Manage Cash Account Relationships
- Nancy Cohn (Deactivated)
- Jawann Swislow
- Former user (Deleted)
A cash account relationship allows you to link a bank account relationship with a custody cash account. You can use cash account relationships to associate multiple cash accounts with a single custody account. A unique cash account relationship is comprised of a custody bank, bank code, cash account, settle currency, entity, and security type.
If you use cash segregation, cash account relationships allow the system to default cash accounts for cash records when a cash account is not provided and for internally generated cash such as for corporate actions. During transaction processing the system uses cash account relationships to apply the appropriate cash account to a transaction.
You can create cash account relationships to establish default cash accounts for different types of cash, such as trade, income, margin cash. Eagle also recommends that you define catch-all cash account relationships to serve as backup rules for assigning missing cash accounts in the event that the system cannot identify a more granular cash account relationship that meets specific cash criteria during processing. For example, you can create a cash account relationship with a Cash Event Type of Default and a Long/Short Indicator of Default.
If you use cash segregation, you must define bank account relationships and cash account relationships whether or not you plan to send transactions that include the cash account number. You must set up bank account relationships before you create cash account relationships.
Create Cash Account Relationships
In the Create Cash Account Relationship panel, you can add a cash account relationship.Â
To create a cash account relationship:
Do one of the following:Â
- In Accounting Center, in the left navigation pane, click Setup > Portfolio Setup > Custody Cash Accounts > Create Cash Account Relationship.
- In Portfolio Data Center, in the left navigation pane, click Portfolio Desk > Accounting Portfolio Setup > Custody Cash Accounts > Create Cash Account Relationship.
You see the Create Cash Account Relationship panel.Complete the options on the Create Cash Account Relationship panel.
Click Submit.
Create Cash Account Relationship Panel Options
In the Create Cash Account Relationship panel, when you add a cash account relationship, you can select various options based on the requirements of your business. Note options may vary according to your selections.
Option | Tag | Description |
|---|---|---|
Entity Information | ||
Entity ID | 7001 | Specifies the identifier of the entity or composite that you want to associate with a custodian bank. |
Entity Name | 7002 | Specifies the abbreviated name for the entity or composite you want to associate with a custodian bank. |
Entity/Custody Bank Relationship | ||
Custody Bank Name | 1146 | Specifies the name of the custodian bank associated with a bank account relationship you want to associate with a cash account. If you specified a value in the Entity Information section, the lookup displays the custody banks with bank account relationships defined for the specified entity or composite. |
Custody Bank Code | 1240 | Specifies the code value, or short name, used to identify the custodian bank holding the assets for the bank account relationship. If you specified a value in the Entity Information section, the lookup displays the custody banks with bank account relationships defined for the specified entity or composite. |
Custody Bank Account Number | 1660 | Specifies the custodian bank account number for the entity that is held in custody for the bank account relationship. |
Cash Account Information | ||
Bank Code | 1176 | Specifies the code value, or short name, used to identify the custodian bank holding the assets. |
Bank Name | 1177 | Specifies the name of the custodian bank associated with the selected custody bank code. |
Choose Existing Account or Add New Account | 7000 | Indicates whether you want to select an existing cash account or create a new cash account. Options include:
|
Choose From Existing Bank Accounts | 962 | Specifies the cash account. This field appears if you set the Choose Existing Account or Add New Account field to a value of Choose Existing Account. In the field lookup, you see the existing cash accounts for the specified custody bank code. After you select an existing cash account, you see the values for that cash account displayed in this panel. |
Cash Account Name | 11696 | Specifies the name of the cash account for the custodian. If you choose an existing cash account, this field is locked. |
Cash Account Number | 11697 | Specifies the account number of the cash account for the custodian. If you choose an existing cash account, this field is locked. |
Settlement Currency | 63 | Specifies the currency for the cash account. You can assign one currency to a single cash account. If a trade settles in different currencies than the asset currency, you create separate cash accounts for each of those currencies. If you choose an existing cash account, ensure you select the account with the appropriate settlement currency. |
Cash Account Detail | ||
Cash Account Type | 62 | Specifies the type of cash posted to the cash account for this cash account relationship. Eagle recommends that you define cash account relationships for income, margin, reclaim, and trade types at a minimum. Options include:
|
Long/Short Indicator | 15 | Specifies the type of transaction to which the cash account applies for this cash account relationship. Options include:
|
Security Type | 82 | Specifies the security type of the asset for the cash account for this cash account relationship. |
Cash Event Type | 53 | Specifies the cash flow direction for the asset for this cash account relationship. You must specify a value in the Security Type field in order to choose a cash event type. Options include:
|
Settle Tolerance Trade | 528 | Specifies the maximum dollar amount difference accepted when matching bank settlements with trade amounts for open receivables/payables during automated cash matching based on actual cash settlements. If the difference exceeds this tolerance, the system does not allow a match. This tolerance applies to cash with a cash category of Principal (TRADE). The default value of zero indicates an exact match is accepted; enter a non zero value to indicate an acceptable difference. |
Settle Tolerance Income | 527 | Specifies the maximum dollar amount difference accepted when matching bank settlements with income amounts for open receivables/payables during automated cash matching based on actual cash settlements. If the difference exceeds this tolerance, the system does not allow a match. This tolerance applies to cash with a cash category of Income (INCOME). The default value of zero indicates an exact match is accepted; enter a non zero value to indicate an acceptable difference. |
Settle Percent Tolerance Trade | 770 | Specifies the maximum percentage difference accepted when matching bank settlements with trade amounts for open receivables/payables during automated cash matching based on actual cash settlements. The system applies the percentage to the open receivable/payable amount. If that amount is less than or equal to the difference between the actual settlement amount and the open receivable/payable, it is considered within tolerance and the system allows a match. If you enter both a settle trade tolerance and a settle trade percent tolerance, the system applies the more restrictive tolerance value. The default value of zero indicates an exact match is accepted; enter a non zero value that is a whole number to indicate an acceptable difference. For example, enter 50 to indicate 50 percent. |
Settle Percent Tolerance Income | 769 | Specifies the maximum percentage difference accepted when matching bank settlements with income amounts for open receivables/payables during automated cash matching based on actual cash settlements. The system applies the percentage to the open receivable/payable amount. If that amount is less than or equal to the difference between the actual settlement amount and the open receivable/payable, it is considered within tolerance and the system allows a match. If you enter both a settle income tolerance and a settle income percent tolerance, the system applies the more restrictive tolerance value. The default value of zero indicates an exact match is accepted; enter a non zero value that is a whole number to indicate an acceptable difference. For example, enter 50 to indicate 50 percent. |
Settle Date Tolerance | 9699 | Specifies the maximum difference in days accepted between settle dates when matching bank settlements with open receivables/payables during automated cash matching based on actual cash settlements. If the settle date difference exceeds this tolerance, the system does not allow a match. The default value of zero indicates an exact match is accepted; enter a non zero value to indicate an acceptable difference. |
Default Entity Name | 1149 | Specifies the name of the default entity to use for sweeping, or releasing, unmatched cash into accounting at the end of the day for the cash account. During suspense processing system applies settled cash to this entity as settled cash in a suspense state. If you do not specify a value, the sweep unmatched cash process does not sweep unmatched cash into account for the cash account. If you choose an existing cash account, this field is locked. |
Default Entity ID | 5 | Specifies the ID of the default entity to use for sweeping unmatched cash into accounting for the cash account. If you choose an existing cash account, this field is locked. |
Custodial Cash Balance Indicator | 12868 | Indicates this cash account relationship identifies the "true" custodian cash account to use for storing cash balances at the custodian and cash account level, which link to a Cost position. This field is hidden. The system uses this value to generate cash balances for the Eagle data warehouse position and lot level position tables for a given entity/basis/currency/cash account combination. Options include:
|
List Cash Accounts Assigned using the Cash Account Relationship Hierarchy
In the List Cash Account Relationships panel, you can enter transaction criteria to identify the cash account that the system would assign to a transaction based on the hierarchy of bank account relationships and cash account relationships that best match the transaction's criteria.
After you set up cash account relationships, you can use this panel to verify how the system will use those rules to assign missing cash accounts during transaction processing. For example, for custodian ABC, you can verify what cash account the system will assign to an trade with a settlement currency of USD and a long/short indicator of Short.
To list cash accounts assigned using the cash account relationship hierarchy:
Do one of the following:Â
- In Accounting Center, in the left navigation pane, click Setup > Portfolio Setup > Custody Cash Accounts > List Cash Account Relationships.
- In Portfolio Data Center, in the left navigation pane, click Portfolio Desk > Accounting Portfolio Setup > Custody Cash Accounts > List Cash Account Relationships.
You see the List Cash Account Relationships panel.Click the Please Select Action field, and select the Hierarchical Cash Account Relationship.
Click the Custodian Bank Name field, the Custodian Bank Code field, or the Custody Bank Account Number field, and select the bank account relationship for the custody location associated with the transaction.
After you select a value in one of these lookup fields, you see the corresponding values defined for the bank account relationship appear for the other two fields.In the remaining fields in the panel, enter the values that apply to the transaction.
At a minimum, you must specify the transaction's settlement currency. You can additionally identify the entity name/ID, transaction's cash account name/number, cash account type, long/short indicator, security type, and cash event type.Click Submit.
You see the name, number, and alias of the cash account that best met your transaction criteria in the Show All tab.