Earnings for ILBs

Inflation linked bonds use the Run Income Accruals panel in Global Processes. The process generates an accrual transaction based on the available information for the security. When the accrual process is run, Eagle Accounting automatically calculates and applies inflation adjustment to the current face and earnings.

Although inflation linked bonds typically trade T+1, BNY has come across exceptions to that practice. In that situation, although no ILB income will post until settlement date, Eagle Accounting will still calculate index ratios in order to calculate the correct ILB quantity to be reported.