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Derivatives - Create an FX Swap

A foreign exchange swap (FX swap) in Fairways Debt is a simultaneous purchase and sale of amounts of one currency for another with two different value dates and may use foreign exchange derivatives.

 

Navigate to the Debt & Derivatives Application
  1. Log in to your Fairways Debt account.
  2. Select a customer account.
  3. Navigate to Applications > Debt & Derivatives.

 

Create an FX Swap
  1. Click Add Transaction > Derivative > FX Swap.

Portfolio_AddTransaction_Derivative_EN.png

  1. Complete the form with all relevant details.

Note: Fields marked with an asterisk * are mandatory.

Field Description
Reference Code

Unique reference of the transaction. Identifies the transaction in the portfolio.

Note: The reference must be unique among all the entities managed in the account.

External Reference Code Used by external systems to identify the transaction. Used when transactions are imported from or exported to another system.
Party Entity in the system involved in the transaction.
Counterparty Can be either internal (an entity in the system) or external (a commercial bank).
Base Currency

Note: The currencies must be different from each other.

Foreign Currency

Transaction_EN.png

Field Description
Trade Date Date at which the transaction has been traded. From that date, the system takes the transaction into account as an item of the portfolio.
Start Date Unadjusted start date of the transaction.
Maturity Date Unadjusted maturity date of the transaction.
Direction

Indicates whether the base currency is bought or sold at spot.

Note: The Base and Foreign Currency Leg fields update depending on the selected direction.

TimeFrame_EN.png

Field Description
Buy Spot / Amount

Contract amount in the base currency exchanged at spot.

Note: This field updates depending on the selected direction.

Sell Spot / Amount
Sell Forward / Amount

Future amount in the base currency exchanged at forward.

Note: This field updates depending on the selected direction. 

Buy Forward / Amount

BaseCurrencyLeg_EN.png

Field Description
Foreign Input Mode Exchange mode of the foreign currency.
Sell Spot / Amount

Contract amount or rate in the foreign currency exchanged at spot against the base currency.

Note: This field updates depending on the selected direction and the foreign input mode.

Sell Spot / Forex Rate
Buy Spot / Amount
Buy Spot / Forex Rate
Buy Forward / Amount

Future amount or rate in the foreign currency exchanged at forward against the base currency.

Note: This field updates depending on the selected direction and the foreign input mode.

Buy Forward / Forex Rate
Sell Forward / Amount
Sell Forward / Forex Rate

ForeignCurrencyLeg_EN.png

Enter the required custom attributes, if any.

  1. Click Apply to create the FX swap.

FXSwap_Create_EN.png

The new FX swap displays in the draft portfolio.

FXSwap_Created_EN.png

 

Related Documentation
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