Set Up Entities for Buy Sellback and Sell Buyback Trades

Eagle Accounting has a single specialized entity election that pertains only to BSB/SBB trades. The Sell Buyback/Buy Sellback Net Position Indicator field (tag 2398) is an entity level election that allows you to specify if a coupon of the underlying collateral security has to be netted with the related Buy Sellback or Sell Buyback position. This tag is not currently included in the Create/Edit Entity panel. At present, this tag is always set to Y, indicating that coupons of underlying securities must be netted with related Buy Sellback or Sell Buyback positions.

When you set up the entity's Accrual Convention Offset (tag 12038) field, be aware that the Accrual Convention Offset Override field (tag 1604) is available on the trade message to override the entity election for accrual convention offset. Using this field/tag, you can elect to use the accrual convention offset from the entity or decide to override it. If the accrual convention offset is overridden, the system always starts accruing from the settlement date. If you always want to start accruing Buy Sellback or Sell Buyback positions from the settlement date, you can default this tag to override the entity election while loading trades through Automation Center.

For general information about entity–level options, see Create/Edit Entity Panel Options. For information about setting up entities used for fixed income securities, see Set Up Entities for MBS and ABS.