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Implementation

FINAL CONFIGURATION
TREASURY AND RISK MANAGEMENT
TR: Configuration Document

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DOCUMENT INFORMATION
Title
TR – Final Configuration
Author
File Name TR Configuration Document
Path
Release Date
Reviewed by
Number of pages
Document Number

REVISION DETAILS
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Issue Date Approved by Released by
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TARGET READERSHIP

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TR: Configuration Document
TABLE OF CONTENTS
1 Purpose of the Document........................................................................5
2 Business Partner.....................................................................................5
2.1 Business Partner Roles.....................................................................6
2.2 Business Partner Number Range & Grouping..................................7
2.2.1 Define Number Range...................................................................7
2.2.2 Define Number Range...................................................................8
2.2.3 Grouping and Number range for Customers.................................9
2.2.4 Assign Account Group of Business Partner to Customer Account
Group.....................................................................................................11
2.3 Business Partner Industry Systems and Industries........................12
2.4 TDS Settings...................................................................................15
3 Transaction Manager – General Settings..............................................16
3.1 Company Code Additional Data......................................................16
3.2 Portfolio...........................................................................................16
3.3 Define Field Selection.....................................................................16
3.4 Currencies.......................................................................................24
3.5 Define Valuation Area.....................................................................27
3.6 Define Accounting Codes................................................................27
3.7 Assign Accounting Codes to Valuation Area...................................27
3.8 Define and Assign Valuation Classes..............................................28
3.9 Define and Assign Differentiation...................................................29
3.10 Assign Consumption Sequence Procedure.....................................30
3.11 Set the Effects of update types on the Position Components.........30
3.12 Key date Valuation..........................................................................30
3.13 Define Position Management Procedure........................................32
3.14 Assign Position Management Procedure........................................34
3.15 Derived Business Transaction.........................................................35
3.16 Accrual/Deferral..............................................................................36
3.17 Link to Other Accounting Components – Account Assignment
Reference (AAR).......................................................................................36
3.18 Link to Other Accounting Components – Define Account
Assignment Reference Determination (OTC Transactions).....................38
3.19 Link to Other Accounting Components – Define Account
Assignment Reference Determination (Securities and Listed Derivatives)
41
3.20 Indicate Update Type as relevant for posting.................................44
3.21 Account Determination...................................................................45
4 Money Market - Transaction Manager..................................................47
4.1 Product Types.................................................................................47
4.2 Transaction Type.............................................................................47
4.3 Flow Types......................................................................................49
4.4 Condition Type................................................................................50
4.5 Update Type....................................................................................50
5 Forex - Transaction Manager................................................................51
5.1 Product Types.................................................................................51
5.2 Transaction Type.............................................................................51

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TR: Configuration Document
5.3 Flow Types......................................................................................51
5.4 Update Type....................................................................................52
6 Derivatives - Transaction Manager.......................................................53
6.1 Product Types.................................................................................53
6.2 Transaction Type.............................................................................53
6.3 Flow Types......................................................................................54
6.4 Update Type....................................................................................56
6.5 Condition Types..............................................................................57
7 Transaction Manager – Securities.........................................................59
7.1 Basic Settings.................................................................................59
7.2 Securities – Master Data Number Range.......................................60
7.3 Securities – Condition Types...........................................................60
7.4 Securities – Condition Groups........................................................61
7.5 Securities – Assign Condition Types to condition Groups..............62
7.6 Securities – Define Product Types..................................................63
7.7 Securities – Define Company Code Dependent Settings for Product
Type 64
7.8 Securities – Specific Class Data......................................................64
7.9 Securities – Transaction Types.......................................................65
7.10 Flow Types......................................................................................65
7.11 Update Type....................................................................................67
7.12 Derived Flows.................................................................................67

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TR: Configuration Document
1 Purpose of the Document
The main project objectives and business drivers behind XYZ’s decision to
implement SAP-TR Module are:
 Integrate the treasury function with other Finance
 Assist the treasury function in investment and borrowing decisions
by providing information on future cash flows and liquidity forecast.
 Monitor payment flows and safeguard liquidity, to meet payment
commitments.
 Record, account and keep track of all treasury transactions in Money
Market, Foreign exchange and securities.
 Ensure back office control on Forex & Investments operations.
 Support loan management process, right from application to
disbursement, accounting and monitoring and managing cash flows
resulting from loans taken.
 Assist the treasury functions to plan, manage and control market
risks resulting from negative developments in money and capital
market
 Support management of financial transactions and positions from the
trading stage through back office processing to the transfer to
Financial Accounting
 Provide the strategic and operative Treasury reports as well as
several other reports for analyzing the master data
 Make available cumulative or non-cumulative values and position
trends from the operative Treasury system and to represent and
analyze them graphically
 To build in the controls for data security and authorization
management
 To provide flexible reporting to analyze financial transactions and
positions
 Provide platform to move towards ‘Central Treasury’ concept for XYZ
and its subsidiaries.
Key benefits expected from treasury implementation are:

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TR: Configuration Document
 Optimal and cost effective management of corporate funds due to
availability of online information of and integration with other
business functions.
 Assistance in reaching more accurate treasury decisions due to
availability of historic data, market data on system along with tools
to analyze this data.
 Integration with finance system

2 Business Partner
The business partner is a natural or legal person with whom business
relationships are maintained. Typical business partners are banks, a
central treasury department with which financial transactions are
concluded.
Use
In Treasury, for example, each contract is entered as a transaction with
one specific business partner, which is why the business partner data must
exist before the transaction can be entered. The options available for
creating a business partner depend on the Customizing settings you make
here.

2.1 Business Partner Roles

Rights and responsibilities that a business partner can have in various
business transactions.

Menu Path: SPRO  TR  Basic Functions  SAP Business Partner

for Financial Services  General Settings  Business Partner  Basic
Settings  Business Partner Roles  Define BP Roles
Configuration Description:
First make the following settings for the business partner role:
1. Attributes of the Role
a) Enter an alphanumeric, six-character key for the BP role.
b) Enter a title as the short form and a description as the long
form for the role's text.
2. Attributes of the Role Category
a) Select a role category if the role should serve as a basis for
programming.

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TR: Configuration Document
Several roles can be assigned to a role category. The assigned
roles are displayed in the overview. You can navigate to the
respective role by double clicking.
b) Determine which role should be assigned as the standard
role.
The indicator is set automatically when a new role is created.
The indicator ensures that only one role can be read when the role
category is used as a basis for programming.
If you only want to display certain business partner roles in the
selection list and want to avoid scrolling, you can use this indicator to
hide business partner roles that you do not require in the selection list.
Never hide General and Financial Services BP role as these both are
used by SAP internal system.

The list of roles relevant to TR implementation at XYZ is as follows:

Role Category Roles Description
000000 General
FS0000 Financial Services BP
TR0151 TR0151 Counter Party

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TR0150 TR0150 Issuer
TR0200 TR0200 Guarantor
TR0152 TR0152 Depository Bank

2.2 Business Partner Number Range & Grouping

In these activity specifications for number ranges and groupings are
defined and also how business partner number range is linked to
customer.
2.2.1 Define Number Range
Menu Path: SPRO  TR  Basic Functions  SAP Business Partner
for Financial Services  General Settings  Business Partner  Basic
Settings  Number range and grouping  Define Number Ranges
Configuration Description:
In this activity, you define number ranges for business partners.
The defined number ranges are assigned to groupings in the Define
groupings and assign number ranges activity.
No. From No. To No.
Range
CF 00001000 000019999
00 9
AB A ZZZZZZZZ

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2.2.2 Define Number Range

Menu Path: SPRO  TR  Basic Functions  SAP Business Partner
for Financial Services  General Settings  Business Partner  Basic
Settings  Number range and grouping  Define Groupings and
Assign Number Ranges
Configuration Description:
Following groupings are defined for TR implementation at XYZ.

Group Short name Description No. Range

Ext.No.Assgn External Number
0002 mnt Assignment AB
Int.No.Assgn FSCM-Internal Number
FSCM mnt Assignmt CF

2.2.3 Grouping and Number range for Customers

Menu Path: SPRO  Cross Application Components Master Data
Synchronization  Customer/Vendor Integration  Business Partner
Settings Settings for Customer Integration  Assign Keys 
Number range and grouping  Define Groupings and Assign Number
Ranges
Configuration Description:
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TR: Configuration Document
This step is done to ensure that the business partner number and
customer account number is same when business partner is linked to
customer.
Always define the customer number range as external, this is
necessary to ensure the same number is allocated to both business
partner and customer account
No From No. To No.
CF 00001000 000019999
00 9

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TR: Configuration Document
Short
Group No. Range name
FSCM FSCM Customers CF

2.2.4 Assign Account Group of Business Partner to Customer

Account Group
Menu Path: SPRO  Cross Application Components Master Data
Synchronization  Customer/Vendor Integration  Business Partner
Settings Settings for Customer Integration  Assign Keys 
Number range and grouping  Define Groupings and Assign Number
Ranges

Configuration Description:

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TR: Configuration Document
In this IMG activity you assign account groups to business partner
groupings, in order to create a customer link for the SAP Business
Partner for Financial Services to the customer master record in
Financial Accounting. You use this assignment to determine the
internal and external number assignment for the FI customer
master record to be created.
Requirements
o You have defined and assigned number ranges and
groupings for the business partners
o You have determined the account groups and the number
ranges assigned to the account groups for creating
customer accounts in Customizing for Financial
Accounting.
Activities
1. Choose New Entries.
2. Choose the Grouping for the business partner and assign the
required account group for the customer master record from
Financial Accounting.
3. If you want to use the same number as the business partner
number when you create the customer master record, set the
identical numbers indicator.
4. Save your entries.
Following settings are done for TR implementation at XYZ.
Grou Same
Grp. Short name p Name no.
Int.No.Assgnm
FSCM nt FSCM FSCM Customers X

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2.3 Business Partner Industry Systems and Industries

Menu Path: SPRO  TR  Basic Functions  SAP Business Partner
for Financial Services  General Settings  Business Partner 
Organizations  Maintain Industry System and Industries
Configuration Description:
In this activity you define industry systems and industries.
You can create different industry systems, to which you can assign
several industries in each case.
One industry system must be identified as the standard industry
system. The industry system identified as the standard industry system
is displayed in the dialog in the initial screen for the maintenance of
industry data.
Activities
1. Choose New Entries.
2. Enter the industry system and a name.
3. Identify the industry system, if necessary, as the standard industry
system.

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4. Save your entries.
In order to assign industries to an industry system, select the required
industry system and choose Industry System -> Industries.
1. Choose New Entries.
2. Enter the industries and the names of the industries.
3. Save your entries.
For XYZ the industry system define is:
Industry System XYZ 003
System Industr Description
y
003 100 Abrasives
003 110 Airconditioners
003 120 Aluminium
003 130 Auto Ancillaries
003 140 Automobiles - 2 And 3
Wheelers
003 150 Automobiles - 4 Wheelers
003 160 Banks
003 170 Bearings
003 180 Brew/Distilleries
003 190 Cables - Telecom
003 200 Castings/Forgings
003 210 Cement And Cement
Products
003 220 Chemicals - Inorganic
003 230 Cigarettes
003 240 Compressors / Pumps
003 250 Computers - Hardware
003 260 Computers - Software
003 270 Construction - Civil
003 280 Consumer Durables
003 290 Cycles
003 300 Detergents
003 310 Diesel Engines
003 320 Diversified
003 330 Dyes And Pigments
003 340 Electrical Equipment
003 350 Electrodes
003 360 Electronics - Industrial
003 370 Engineering
003 380 Fastners
003 390 Fertilisers
003 400 Finance
003 410 Finance - Housing
003 420 Financial Institution
003 430 Food And Food Processing
003 440 Gems, Jewellery And
Watches
003 450 Hotels
003 460 Industrial Gas

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003 470 Leather And Leather
Products
003 480 Media & Entertainment
003 490 Metals
003 500 Mining
003 510 Miscellaneous
003 520 Oil Exploration/Production
003 530 Packaging
003 540 Paints
003 550 Paper And Paper Products
003 560 Personal Care
003 570 Pesticides And
Agrochemicals
003 580 Petrochemicals
003 590 Pharmaceuticals
003 600 Photographic Products
003 610 Plastic And Plastic Products
003 620 Power
003 630 Printing And Publishing
003 640 Refineries
003 650 Refractories
003 660 Shipping
003 670 Solvent Extraction
003 680 Steel And Steel Products
003 690 Sugar
003 700 Tea And Coffee
003 710 Telecommunication -
Equipment
003 720 Telecommunication -
Services
003 730 Textile Machinery
003 740 Textile Products
003 750 Trading
003 760 Transmission Towers
003 770 Travel And Transport
003 780 Tyres

2.4 TDS Settings

Menu Path: SM30  TRXV_WT_ASSIGN
Configuration Description:
You need to maintain relevant entries in this table apart from
maintaining the TDS codes in the respective business partner master
data for enabling deduction of TDS for TR related postings, which
attract TDS

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3 Transaction Manager – General Settings

3.1 Company Code Additional Data
Menu Path: SPRO  TR  Transaction Manager  General Settings
 Organization  Define Company Code Additional Data.
Configuration Description:
You can specify default values applicable to organization XYZ; namely,
planned record update for variable interest rates has been set to
‘Update with current interest rates’
3.2 Portfolio
Menu Path: SPRO  TR  Transaction Manager  General Settings
 Organization  Define Portfolio
Configuration Description:
It’s a concept to be used by treasury department to breakdown its
investment and borrowings transactions as per their MIS requirement.
Portfolio Portfolio Name
1000 Loans For Purchase of Prop
1001 Loans For Construction Of Prop
1003 Loan Against Mortgage Of Prop
1004 Loan Against Hypo of Prop
1005 Loan Against Pledge of Shares
1006 Loan Against Disct of rent
1007 Loan for General Purpose
1008 Loan for Working Capital
2001 Non-convertible Debentures
2002 Partially Convt Debentur
2003 Fully Convert Debentures
2004 Optionally Convert Debentures
3000 Hedging
4000 Quoted Investments
4001 Intergroup Investments
4002 Outside Investment
4003 Joint Group Entities Invest
4004 Other Investments
5000 Non-Funded Borrowings

3.3 Define Field Selection

Menu Path: SPRO  TR  Transaction Manager  General Settings
 Transaction Management  Define Field Selection
Configuration Description:

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In this step you can set up the user interface for transaction
management according to various criteria.
 All the fields that are visible in the entry screens are grouped
according to business criteria. For each field group, you can
define whether it should be shown or hidden and whether the
entries should be required or optional.
 You can also configure the various tabs in the transaction entry
screens (such as administration or correspondence); you can set
the tabs to hidden, optional entry or display only. However, you
cannot define tabs as mandatory.
Exception: You cannot hide the Structure tab.
First of all, you define your settings as field selection strings.
These field selection strings can then be assigned directly to a product
category, which means they apply for all the product types within that
product category, as long as no different settings are made for the
individual product types.
Once the field selection strings have been defined, they can be assigned
at the following levels:
1. Product type and company code
2. Transaction type
3. Activity category
4. Function
When you call up a transaction management function, the relevant field
selection string is taken from this table. The system first searches for a
field selection string for the function. If the search is unsuccessful, it
searches for the field selection string for the activity category. If this
search is also unsuccessful, it searches through the next level up. The
last search level is the assignment to the product type and company
code.
You are not completely free to configure the field selection controls as
you wish. You are not allowed to make settings that contradict the
predefined system settings. For example, if you attempt to hide a field
group regarded as mandatory by the system (essential to the business
process or necessary for technical reasons), the system ignores the
setting.
Decision matrix:

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Req. Opt. Hide Display
(R) (O) (H) (D)
Require
R R H D
d
Optiona
R O H D
l
Hide R H H H
Display R D H D

Field Selection PrC Prod Category

CASH FLOW 540 Cash flow
transaction
FACILITY 560 Facility
FIXED DEPSOIT
FOREX & OPTIONS
INTEREST RATE
SECURITIES
VEHICLE LOAN
SWAP: BASIS 620 SWAP
SWAP: FIX TO FIX 620 SWAP
SWAP: PAYER 620 SWAP
SWAP: RECEIVER 620 SWAP

CoC PTy Field

d p PrC selection Company Name Text
1000 01A 010 SECURITIES K XYZ Corp Private Ltd Stocks
1000 02A 020 SECURITIES K XYZ Corp Private Ltd Investment certificates
1000 04X 040 SECURITIES K XYZ Corp Private Ltd Issue: Fixed Int Debentures
Issue: Variable Int
1000 04Y 040 SECURITIES K XYZ Corp Private Ltd Debentures
1000 51A 510 FIXED DEPSOIT K XYZ Corp Private Ltd FD - Margin Money
1000 52A 520 VEHICLE LOAN K XYZ Corp Private Ltd Deposit at Notice
1000 54A 540 CASH FLOW K XYZ Corp Private Ltd Bank Guarantee
1000 54B 540 CASH FLOW K XYZ Corp Private Ltd Overdraft Against Loan
1000 55A 550 INTEREST RATE K XYZ Corp Private Ltd LOC - Line Of Credit
Term Loan For Project
1000 55B 550 INTEREST RATE K XYZ Corp Private Ltd Devlpmnt
Term Loan By Disct Of Rent
1000 55C 550 INTEREST RATE K XYZ Corp Private Ltd Rec
1000 55D 550 INTEREST RATE K XYZ Corp Private Ltd General Term Loan
1000 55E 550 INTEREST RATE K XYZ Corp Private Ltd Forex Loan
ICD Borrowings in Bank &
1000 55F 550 INTEREST RATE K XYZ Corp Private Ltd Inst
1000 55G 550 VEHICLE LOAN K XYZ Corp Private Ltd Vehicle Loan

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External Commercial
1000 55H 550 INTEREST RATE K XYZ Corp Private Ltd Borrowings
1000 55I 550 INTEREST RATE K XYZ Corp Private Ltd ICD Others
1000 56A 560 FACILITY K XYZ Corp Private Ltd Facility-LOC : Line Of Credit
1000 56B 560 FACILITY K XYZ Corp Private Ltd Facility-Term Loan for Project
Facility- Rent Receivable
1000 56C 560 FACILITY K XYZ Corp Private Ltd Loan
1000 56D 560 FACILITY K XYZ Corp Private Ltd Facility-General Term Loan
1000 56E 560 FACILITY K XYZ Corp Private Ltd Facility-Forex Loan
1000 56F 560 FACILITY K XYZ Corp Private Ltd Facility-Inter Corporate Borro
Facility-Ext Commercial
1000 56H 560 FACILITY K XYZ Corp Private Ltd Borrw
1000 56I 560 FACILITY K XYZ Corp Private Ltd Facility-ICD Others
FOREX &
1000 60A 600 OPTIONS K XYZ Corp Private Ltd Foreign exchange (FX)
1000 62A 620 K XYZ Corp Private Ltd Interest rate swap (IRS)
Cross-curr.int.rate swap
1000 62B 620 K XYZ Corp Private Ltd (CCS)
1050 01A 010 SECURITIES Ivory Prop & Hotels P Ltd Stocks
1050 02A 020 SECURITIES Ivory Prop & Hotels P Ltd Investment certificates
1050 04X 040 SECURITIES Ivory Prop & Hotels P Ltd Issue: Fixed Int Debentures
Issue: Variable Int
1050 04Y 040 SECURITIES Ivory Prop & Hotels P Ltd Debentures
1050 51A 510 FIXED DEPSOIT Ivory Prop & Hotels P Ltd FD - Margin Money
1050 52A 520 VEHICLE LOAN Ivory Prop & Hotels P Ltd Deposit at Notice
1050 54A 540 CASH FLOW Ivory Prop & Hotels P Ltd Bank Guarantee
1050 54B 540 CASH FLOW Ivory Prop & Hotels P Ltd Overdraft Against Loan
1050 55A 550 INTEREST RATE Ivory Prop & Hotels P Ltd LOC - Line Of Credit
Term Loan For Project
1050 55B 550 INTEREST RATE Ivory Prop & Hotels P Ltd Devlpmnt
Term Loan By Disct Of Rent
1050 55C 550 INTEREST RATE Ivory Prop & Hotels P Ltd Rec
1050 55D 550 INTEREST RATE Ivory Prop & Hotels P Ltd General Term Loan
1050 55E 550 INTEREST RATE Ivory Prop & Hotels P Ltd Forex Loan
ICD Borrowings in Bank &
1050 55F 550 INTEREST RATE Ivory Prop & Hotels P Ltd Inst
1050 55G 550 VEHICLE LOAN Ivory Prop & Hotels P Ltd Vehicle Loan
External Commercial
1050 55H 550 INTEREST RATE Ivory Prop & Hotels P Ltd Borrowings
1050 55I 550 INTEREST RATE Ivory Prop & Hotels P Ltd ICD Others
1050 56A 560 FACILITY Ivory Prop & Hotels P Ltd Facility-LOC : Line Of Credit
1050 56B 560 FACILITY Ivory Prop & Hotels P Ltd Facility-Term Loan for Project
Facility- Rent Receivable
1050 56C 560 FACILITY Ivory Prop & Hotels P Ltd Loan
1050 56D 560 FACILITY Ivory Prop & Hotels P Ltd Facility-General Term Loan
1050 56E 560 FACILITY Ivory Prop & Hotels P Ltd Facility-Forex Loan
1050 56F 560 FACILITY Ivory Prop & Hotels P Ltd Facility-Inter Corporate Borro
Facility-Ext Commercial
1050 56H 560 FACILITY Ivory Prop & Hotels P Ltd Borrw
1050 56I 560 FACILITY Ivory Prop & Hotels P Ltd Facility-ICD Others

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FOREX &
1050 60A 600 OPTIONS Ivory Prop & Hotels P Ltd Foreign exchange (FX)
1050 62A 620 Ivory Prop & Hotels P Ltd Interest rate swap (IRS)
Cross-curr.int.rate swap
1050 62B 620 Ivory Prop & Hotels P Ltd (CCS)
1100 01A 010 SECURITIES Inorbit Malls (I) Pvt Ltd Stocks
1100 02A 020 SECURITIES Inorbit Malls (I) Pvt Ltd Investment certificates
1100 04X 040 SECURITIES Inorbit Malls (I) Pvt Ltd Issue: Fixed Int Debentures
Issue: Variable Int
1100 04Y 040 SECURITIES Inorbit Malls (I) Pvt Ltd Debentures
1100 51A 510 FIXED DEPSOIT Inorbit Malls (I) Pvt Ltd FD - Margin Money
1100 52A 520 VEHICLE LOAN Inorbit Malls (I) Pvt Ltd Deposit at Notice
1100 54A 540 Inorbit Malls (I) Pvt Ltd Bank Guarantee
1100 54B 540 Inorbit Malls (I) Pvt Ltd Overdraft Against Loan
1100 55A 550 INTEREST RATE Inorbit Malls (I) Pvt Ltd LOC - Line Of Credit
Term Loan For Project
1100 55B 550 INTEREST RATE Inorbit Malls (I) Pvt Ltd Devlpmnt
Term Loan By Disct Of Rent
1100 55C 550 INTEREST RATE Inorbit Malls (I) Pvt Ltd Rec
1100 55D 550 INTEREST RATE Inorbit Malls (I) Pvt Ltd General Term Loan
1100 55E 550 INTEREST RATE Inorbit Malls (I) Pvt Ltd Forex Loan
ICD Borrowings in Bank &
1100 55F 550 INTEREST RATE Inorbit Malls (I) Pvt Ltd Inst
1100 55G 550 VEHICLE LOAN Inorbit Malls (I) Pvt Ltd Vehicle Loan
External Commercial
1100 55H 550 INTEREST RATE Inorbit Malls (I) Pvt Ltd Borrowings
1100 55I 550 INTEREST RATE Inorbit Malls (I) Pvt Ltd ICD Others
1100 56A 560 FACILITY Inorbit Malls (I) Pvt Ltd Facility-LOC : Line Of Credit
1100 56B 560 FACILITY Inorbit Malls (I) Pvt Ltd Facility-Term Loan for Project
Facility- Rent Receivable
1100 56C 560 FACILITY Inorbit Malls (I) Pvt Ltd Loan
1100 56D 560 FACILITY Inorbit Malls (I) Pvt Ltd Facility-General Term Loan
1100 56E 560 FACILITY Inorbit Malls (I) Pvt Ltd Facility-Forex Loan
1100 56F 560 FACILITY Inorbit Malls (I) Pvt Ltd Facility-Inter Corporate Borro
Facility-Ext Commercial
1100 56H 560 FACILITY Inorbit Malls (I) Pvt Ltd Borrw
1100 56I 560 FACILITY Inorbit Malls (I) Pvt Ltd Facility-ICD Others
FOREX &
1100 60A 600 OPTIONS Inorbit Malls (I) Pvt Ltd Foreign exchange (FX)
1150 01A 010 SECURITIES Serene Properties Pvt Ltd Stocks
1150 02A 020 SECURITIES Serene Properties Pvt Ltd Investment certificates
1150 04X 040 SECURITIES Serene Properties Pvt Ltd Issue: Fixed Int Debentures
Issue: Variable Int
1150 04Y 040 SECURITIES Serene Properties Pvt Ltd Debentures
1150 51A 510 FIXED DEPSOIT Serene Properties Pvt Ltd FD - Margin Money
1150 52A 520 VEHICLE LOAN Serene Properties Pvt Ltd Deposit at Notice
1150 54A 540 Serene Properties Pvt Ltd Bank Guarantee
1150 54B 540 Serene Properties Pvt Ltd Overdraft Against Loan
1150 55A 550 INTEREST RATE Serene Properties Pvt Ltd LOC - Line Of Credit
1150 55B 550 INTEREST RATE Serene Properties Pvt Ltd Term Loan For Project

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Devlpmnt
Term Loan By Disct Of Rent
1150 55C 550 INTEREST RATE Serene Properties Pvt Ltd Rec
1150 55D 550 INTEREST RATE Serene Properties Pvt Ltd General Term Loan
1150 55E 550 INTEREST RATE Serene Properties Pvt Ltd Forex Loan
ICD Borrowings in Bank &
1150 55F 550 INTEREST RATE Serene Properties Pvt Ltd Inst
1150 55G 550 VEHICLE LOAN Serene Properties Pvt Ltd Vehicle Loan
External Commercial
1150 55H 550 INTEREST RATE Serene Properties Pvt Ltd Borrowings
1150 55I 550 INTEREST RATE Serene Properties Pvt Ltd ICD Others
1150 56A 560 FACILITY Serene Properties Pvt Ltd Facility-LOC : Line Of Credit
1150 56B 560 FACILITY Serene Properties Pvt Ltd Facility-Term Loan for Project
Facility- Rent Receivable
1150 56C 560 FACILITY Serene Properties Pvt Ltd Loan
1150 56D 560 FACILITY Serene Properties Pvt Ltd Facility-General Term Loan
1150 56E 560 FACILITY Serene Properties Pvt Ltd Facility-Forex Loan
1150 56F 560 FACILITY Serene Properties Pvt Ltd Facility-Inter Corporate Borro
Facility-Ext Commercial
1150 56H 560 FACILITY Serene Properties Pvt Ltd Borrw
1150 56I 560 FACILITY Serene Properties Pvt Ltd Facility-ICD Others
FOREX &
1150 60A 600 OPTIONS Serene Properties Pvt Ltd Foreign exchange (FX)
Genext H/W & Parks P
1200 01A 010 SECURITIES Ltd Stocks
Genext H/W & Parks P
1200 02A 020 SECURITIES Ltd Investment certificates
Genext H/W & Parks P
1200 04X 040 SECURITIES Ltd Issue: Fixed Int Debentures
Genext H/W & Parks P Issue: Variable Int
1200 04Y 040 SECURITIES Ltd Debentures
Genext H/W & Parks P
1200 51A 510 FIXED DEPSOIT Ltd FD - Margin Money
Genext H/W & Parks P
1200 52A 520 VEHICLE LOAN Ltd Deposit at Notice
Genext H/W & Parks P
1200 54A 540 Ltd Bank Guarantee
Genext H/W & Parks P
1200 54B 540 Ltd Overdraft Against Loan
Genext H/W & Parks P
1200 55A 550 INTEREST RATE Ltd LOC - Line Of Credit
Genext H/W & Parks P Term Loan For Project
1200 55B 550 INTEREST RATE Ltd Devlpmnt
Genext H/W & Parks P Term Loan By Disct Of Rent
1200 55C 550 INTEREST RATE Ltd Rec
Genext H/W & Parks P
1200 55D 550 INTEREST RATE Ltd General Term Loan
Genext H/W & Parks P
1200 55E 550 INTEREST RATE Ltd Forex Loan
Genext H/W & Parks P ICD Borrowings in Bank &
1200 55F 550 INTEREST RATE Ltd Inst

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Genext H/W & Parks P
1200 55G 550 VEHICLE LOAN Ltd Vehicle Loan
Genext H/W & Parks P External Commercial
1200 55H 550 INTEREST RATE Ltd Borrowings
Genext H/W & Parks P
1200 55I 550 INTEREST RATE Ltd ICD Others
Genext H/W & Parks P
1200 56A 560 FACILITY Ltd Facility-LOC : Line Of Credit
Genext H/W & Parks P
1200 56B 560 FACILITY Ltd Facility-Term Loan for Project
Genext H/W & Parks P Facility- Rent Receivable
1200 56C 560 FACILITY Ltd Loan
Genext H/W & Parks P
1200 56D 560 FACILITY Ltd Facility-General Term Loan
Genext H/W & Parks P
1200 56E 560 FACILITY Ltd Facility-Forex Loan
Genext H/W & Parks P
1200 56F 560 FACILITY Ltd Facility-Inter Corporate Borro
Genext H/W & Parks P Facility-Ext Commercial
1200 56H 560 FACILITY Ltd Borrw
Genext H/W & Parks P
1200 56I 560 FACILITY Ltd Facility-ICD Others
FOREX & Genext H/W & Parks P
1200 60A 600 OPTIONS Ltd Foreign exchange (FX)
1250 01A 010 SECURITIES Avacado Prp & Trd I P Ltd Stocks
1250 02A 020 SECURITIES Avacado Prp & Trd I P Ltd Investment certificates
1250 04X 040 SECURITIES Avacado Prp & Trd I P Ltd Issue: Fixed Int Debentures
Issue: Variable Int
1250 04Y 040 SECURITIES Avacado Prp & Trd I P Ltd Debentures
1250 51A 510 FIXED DEPSOIT Avacado Prp & Trd I P Ltd FD - Margin Money
1250 52A 520 VEHICLE LOAN Avacado Prp & Trd I P Ltd Deposit at Notice
1250 54A 540 Avacado Prp & Trd I P Ltd Bank Guarantee
1250 54B 540 Avacado Prp & Trd I P Ltd Overdraft Against Loan
1250 55A 550 INTEREST RATE Avacado Prp & Trd I P Ltd LOC - Line Of Credit
Term Loan For Project
1250 55B 550 INTEREST RATE Avacado Prp & Trd I P Ltd Devlpmnt
Term Loan By Disct Of Rent
1250 55C 550 INTEREST RATE Avacado Prp & Trd I P Ltd Rec
1250 55D 550 INTEREST RATE Avacado Prp & Trd I P Ltd General Term Loan
1250 55E 550 INTEREST RATE Avacado Prp & Trd I P Ltd Forex Loan
ICD Borrowings in Bank &
1250 55F 550 INTEREST RATE Avacado Prp & Trd I P Ltd Inst
1250 55G 550 VEHICLE LOAN Avacado Prp & Trd I P Ltd Vehicle Loan
External Commercial
1250 55H 550 INTEREST RATE Avacado Prp & Trd I P Ltd Borrowings
1250 55I 550 INTEREST RATE Avacado Prp & Trd I P Ltd ICD Others
1250 56A 560 FACILITY Avacado Prp & Trd I P Ltd Facility-LOC : Line Of Credit
1250 56B 560 FACILITY Avacado Prp & Trd I P Ltd Facility-Term Loan for Project
Facility- Rent Receivable
1250 56C 560 FACILITY Avacado Prp & Trd I P Ltd Loan
1250 56D 560 FACILITY Avacado Prp & Trd I P Ltd Facility-General Term Loan

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1250 56E 560 FACILITY Avacado Prp & Trd I P Ltd Facility-Forex Loan
1250 56F 560 FACILITY Avacado Prp & Trd I P Ltd Facility-Inter Corporate Borro
Facility-Ext Commercial
1250 56H 560 FACILITY Avacado Prp & Trd I P Ltd Borrw
1250 56I 560 FACILITY Avacado Prp & Trd I P Ltd Facility-ICD Others
FOREX &
1250 60A 600 OPTIONS Avacado Prp & Trd I P Ltd Foreign exchange (FX)
9000 01A 010 SECURITIES Matrix Prop Mgmt Pvt Ltd Stocks
9000 02A 020 SECURITIES Matrix Prop Mgmt Pvt Ltd Investment certificates
9000 04X 040 SECURITIES Matrix Prop Mgmt Pvt Ltd Issue: Fixed Int Debentures
Issue: Variable Int
9000 04Y 040 SECURITIES Matrix Prop Mgmt Pvt Ltd Debentures
9000 51A 510 FIXED DEPSOIT Matrix Prop Mgmt Pvt Ltd FD - Margin Money
9000 52A 520 VEHICLE LOAN Matrix Prop Mgmt Pvt Ltd Deposit at Notice
9000 54A 540 CASH FLOW Matrix Prop Mgmt Pvt Ltd Bank Guarantee
9000 54B 540 CASH FLOW Matrix Prop Mgmt Pvt Ltd Overdraft Against Loan
9000 55A 550 INTEREST RATE Matrix Prop Mgmt Pvt Ltd LOC - Line Of Credit
Term Loan For Project
9000 55B 550 INTEREST RATE Matrix Prop Mgmt Pvt Ltd Devlpmnt
Term Loan By Disct Of Rent
9000 55C 550 INTEREST RATE Matrix Prop Mgmt Pvt Ltd Rec
9000 55D 550 INTEREST RATE Matrix Prop Mgmt Pvt Ltd General Term Loan
9000 55E 550 INTEREST RATE Matrix Prop Mgmt Pvt Ltd Forex Loan
ICD Borrowings in Bank &
9000 55F 550 INTEREST RATE Matrix Prop Mgmt Pvt Ltd Inst
9000 55G 550 VEHICLE LOAN Matrix Prop Mgmt Pvt Ltd Vehicle Loan
External Commercial
9000 55H 550 INTEREST RATE Matrix Prop Mgmt Pvt Ltd Borrowings
9000 55I 550 INTEREST RATE Matrix Prop Mgmt Pvt Ltd ICD Others
9000 56A 560 FACILITY Matrix Prop Mgmt Pvt Ltd Facility-LOC : Line Of Credit
9000 56B 560 FACILITY Matrix Prop Mgmt Pvt Ltd Facility-Term Loan for Project
Facility- Rent Receivable
9000 56C 560 FACILITY Matrix Prop Mgmt Pvt Ltd Loan
9000 56D 560 FACILITY Matrix Prop Mgmt Pvt Ltd Facility-General Term Loan
9000 56E 560 FACILITY Matrix Prop Mgmt Pvt Ltd Facility-Forex Loan
9000 56F 560 FACILITY Matrix Prop Mgmt Pvt Ltd Facility-Inter Corporate Borro
Facility-Ext Commercial
9000 56H 560 FACILITY Matrix Prop Mgmt Pvt Ltd Borrw
9000 56I 560 FACILITY Matrix Prop Mgmt Pvt Ltd Facility-ICD Others
FOREX &
9000 60A 600 OPTIONS Matrix Prop Mgmt Pvt Ltd Foreign exchange (FX)
9000 62A 620 Matrix Prop Mgmt Pvt Ltd Interest rate swap (IRS)
Cross-curr.int.rate swap
9000 62B 620 Matrix Prop Mgmt Pvt Ltd (CCS)

3.4 Currencies
Menu Path: SPRO  TR  Transaction Manager  General Settings
 Transaction Management  Currencies

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Configuration Description:
Herein you assign the calendar for all the currencies in which the
business might enter into a transaction and also define the leading –
following currency relationship between two currencies that would be
used in forex and derivatives area.
Currency Calendar
AED
ATS AT
AUD AU
BEF BE
CAD CA
CHF CH
DEM 01
EUR EU
FRF FR
GBP GB
INR IN
ITL IT
JPY JP
NLG NL
NZD NZ
SGD SG
USD US

L Currency F Spot
Currenc
y
AED INR 2
ATS DEM 2
AUD AED 2
AUD INR 2
AUD SGD 2
AUD USD 2
CAD INR 2
CHF AED 2
CHF DEM 2
CHF INR 2
CHF ITL 2
CHF JPY 2

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CHF SGD 2
EUR AED 2
EUR AUD 2
EUR CAD 2
EUR CHF 2
EUR DEM 2
EUR EUR
EUR FRF
EUR GBP 2
EUR INR 2
EUR ITL
EUR JPY 2
EUR NZD 2
EUR SGD 2
EUR USD 2
FRF CHF
FRF DEM
FRF ITL
GBP AED 2
GBP ATS 2
GBP CHF 2
GBP DEM 2
GBP FRF 2
GBP INR 2
GBP ITL 2
GBP JPY 2
GBP SGD 2
GBP USD 2
JPY AED 2
JPY ATS 2
JPY DEM 2
JPY INR 2
JPY SGD 2
NZD INR 2
NZD USD 2
SGD AED 2
SGD INR 2
USD AED 2
USD ATS 2
USD CAD 2

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USD CHF 2
USD DEM 2
USD FRF 2
USD INR 2
USD ITL 2
USD JPY 2
USD SGD 2

3.5 Define Valuation Area

Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Organization  Define Valuation Area
Configuration Description:
In this IMG activity you define all valuation areas that you require. You
define valuation area 001, that corresponds to the 'operative valuation
area', and all other parallel valuation areas.
Note:
Valuation area 001 is the operative valuation area. The positions in the
operative valuation area (with exceptions) are managed and valued
using the 'old' operative valuation area functions. The exceptions are
the listed options and futures positions and the forwards und repo
positions. These positions are managed and valued using the functions
of the parallel valuation areas.

3.6 Define Accounting Codes

Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Organization  Define Accounting Codes
Configuration Description:
In this menu option you define your Accounting codes and assign the
corresponding FI Company codes to them in a 1:1 relationship.

Name of the
ACC accounting code CoCd
1000 K XYZ Corp Private Ltd 1000
1050 Ivory Prop & Hotels P Ltd 1050
1100 Inorbit Malls (I) Pvt Ltd 1100
1150 Serene Properties Pvt Ltd 1150
Genext H/W & Parks P
1200 Ltd 1200
Avacado Prp & Trd I P
1250 Ltd 1250

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3.7 Assign Accounting Codes to Valuation Area
Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Organization  Define Accounting Codes
Configuration Description:
In this menu option you define your Accounting codes and assign the
corresponding FI company codes to them in a 1:1 relationship.
Activities
1. Choose New Entries.
2. Choose the accounting code and assign a valuation area.
3. In the Valuation Area - Additional Data section, enter the relevant
valuation currency and the rate type to be used for currency translation
if the operative application is unable to supply the amount in valuation
currency.
Note: Never change the valuation currency once the deals are posted
into the system.
4. In the Data Transfer to Accounting section, you specify how the data
for the parallel valuation areas is to be updated.
The following options are available:
a) Do not post to FI
b) Post to FI
If you decide to update FI, you must specify an accounting principle.
Accounting principles are defined in the Customizing settings for FI
and contain information on whether data is written to a special ledger,
and, if this is the case, which special ledger is used (IMG path:
Financial Accounting -> Financial Accounting Global Settings ->
Company Code -> Parallel Valuation Methods -> Accounting Principles
and Additional Ledgers).

Valn
ACC VA Accounting code name Name of valuation area crcy ExRt AccP
1000 001 K XYZ Corp Private Ltd Operative Valuation Area for XYZ Group INR M GAAP
1050 001 Ivory Prop & Hotels P Ltd Operative Valuation Area for XYZ Group INR M GAAP
1100 001 Inorbit Malls (I) Pvt Ltd Operative Valuation Area for XYZ Group INR M GAAP
1150 001 Serene Properties Pvt Ltd Operative Valuation Area for XYZ Group INR M GAAP
1200 001 Genext H/W & Parks P Ltd Operative Valuation Area for XYZ Group INR M GAAP
1250 001 Avacado Prp & Trd I P Ltd Operative Valuation Area for XYZ Group INR M GAAP

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3.8 Define and Assign Valuation Classes
Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Settings for Position Management  Define and
Assign Valuation Classes
Configuration Description:
There are two concepts within this node, namely valuation class and
general valuation class. The general valuation class is a mandatory
field for all deals to be created in application and can be defaulted via
configuration node in different sub modules of TR. The valuation class
is a further bifurcation made available by the system to segregate the
positions within different modules of TR. This is defined at valuation
area level (in XYZ’s case only operative valuation area is relevant). Also
valuation class concept can be used as a criteria to derive ‘account
assignment reference (concept required to determine the position
accounts for various processes), which has been used in the case of
Stock-in-Trade scenario for XYZ. Also General Valuation Class and
Valuation Class are linked to each other in this node and this linkage is
done valuation area wise. This relationship enables the system to
determine the valuation class for each deal created in the system via
the general valuation class entered for the deal. The entries maintained
herein are:

GVC GVC Text

1 Secured Investments
2 Secured Loan
3 Unsecured Loan
4 Liabilities
5 Un-Secured Investments

VA Name of Valuation Area ValC Name of Valuation Class

l
00 Operative Valuation Area for XYZ 1 Secured Investments
1 Group
00 Operative Valuation Area for XYZ 2 Secured Borrowings
1 Group
00 Operative Valuation Area for XYZ 3 Unsecured Borrowings
1 Group
00 Operative Valuation Area for XYZ 4 Liabilities
1 Group
00 Operative Valuation Area for XYZ 5 Unsecured Investments

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1 Group

GVC Text V VC Text

VA GVC C
001 1 Secured Investments 1 Secured Investments
001 2 Secured Loan 2 Secured Borrowings
001 3 Unsecured Loan 3 Unsecured Borrowings
001 4 Liabilities 4 Liabilities
001 5 Un-Secured 5 Unsecured Investments
Investments

3.9 Define and Assign Differentiation

Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Settings for Position Management  Define and
Assign Differentiation
Configuration Description:
This node enables you to configure the levels (which is referred to as
differentiation) at which your position needs to be managed. This would
be relevant only for those modules where position also involves units i.e.
securities and listed derivatives. The following configuration has been
done for XYZ.
The differentiation parameters set are:
a) Portfolio

3.10 Assign Consumption Sequence Procedure

Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Settings for Position Management  Assign
Consumption Sequence Procedure
Configuration Description:
In the above said note you set up the system to manage position at
required levels (differentiation terms) and in this node you actually
specify the sequence and process of consumption. As per the
requirement the setting for manual consumption has been done for all
the company codes and relevant product types within the company
codes of XYZ.
Settings per company code:
C.Cod Text Cons Sequence Default VA
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e
1 Manual 1 Manual 001
Assignment Assignment

3.11 Set the Effects of update types on the Position

Components
Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Settings for Position Management  Set the effects of
update types on position components
Configuration Description:
This node manages which are update types in the areas of securities
and listed derivatives, which are relevant to be a part of position
component i.e. capitalized. The standard entries here are perfect and
need not be touched or changed. New update types created in the said
areas, if relevant for capitalization need to be specified appropriately
and the same has been done in the case of XYZ.
3.12 Key date Valuation
Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Settings for Position Management  Key Date
Valuation
Configuration Description:
Under this node you set up five types of procedures i.e.
a) Define Amortization Procedure
b) Define One Step Valuation Procedure

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c) Define Security Valuation Procedure

d) Define Foreign Currency Valuation Procedure

e) Define Price Valuation Procedure for Forward Exchange
Transactions

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3.13 Define Position Management Procedure

Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Settings for Position Management  Define Position
Management Procedure
Configuration Description:
Under this node you define the position management procedure, which
may contain some or all of the above said five types of procedures. SAP
has provided a standard list of position management procedures and
the same have been used for XYZ
PosmgmntProc Position Management Procedure
2500 Money Market: Mark-to-Market (FX / P/L)
4001 Forward Exchange Transactions: Swap Accrual
2000 SE/LO/MM: Write up to Purchase Value (Without Amort.)

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3.14 Assign Position Management Procedure

Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Settings for Position Management  Assign Position
Management Procedure
Configuration Description:
Under this node you assign the position management procedure, to
your respective processes that you have configured. The assignment
could be at valuation class, product category, product type, and
transaction type level. The assignment done in the case of XYZ is as
follows:

VA ACC PrC PTyp ValCl TTyp Portfolio SAcGr Sec. Acct Conf.proc.
001 000 04X 0000 1030
001 000 04Y 0000 1030
001 000 51A 0000 2500
001 000 52A 0000 2500
001 000 53A 0000 2500
001 000 54A 0000 2500
001 000 54B 0000 2500
001 000 55A 0000 2500
001 000 56A 0000 2700
001 000 56B 0000 2700
001 000 60A 0000 4001
001 000 60B 0000 3001
001 000 61A 0000 7300
001 000 61B 0000 7300

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001 000 62A 0000 7300
001 000 62B 0000 7300
001 000 62D 0000 7300
001 000 63A 0000 7300
001 010 0001 2000
001 010 0002 2000
001 010 0003 2000
001 020 0001 2000
001 020 0002 2000
001 020 0003 2000
001 030 0001 2000
001 030 0002 2000
001 030 0003 2000
001 040 0001 2000
001 040 0002 2000
001 040 0003 2000
001 060 0001 9983
001 060 0002 9981
001 060 0003 9984
001 070 0001 9983
001 070 0002 9980
001 070 0003 9984
001 300 0003 9984
001 310 0003 9984
001 320 0003 9984
001 550 0000 2500
001 560 0000 2700
001 700 0000 6000
000 76H 0000 7200
000 76I 0000 7200
000 76J 0000 7200
000 76K 0000 7200
560 0000 7300
730 0000 8000
760 0000 7100
770 0000 7300
780 0000 7300

3.15 Derived Business Transaction

Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Derived Business Transactions
Configuration Description:
System in case of certain business scenarios triggers flows
automatically for example profit/loss on sale of securities/listed
derivatives. You can manage the creation and maintenance of update
types of the category ‘derived business transactions’. There has been
no need to create incremental update types of this nature of category
and hence this contains only standard entries. Also the managing of
these processes has been kept as delivered by standard SAP i.e. online.

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PosmgmntProc Position Management Procedure

2500 Money Market: Mark-to-Market (FX / P/L)
4001 Forward Exchange Transactions: Swap Accrual
2000 SE/LO/MM: Write up to Purchase Value (Without Amort.)

3.16 Accrual/Deferral
Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Accrual/Deferral
Configuration Description:
Herein you specify the flow types in the respective area, which would
be subject to Accrual/Deferral Procedure. The list of flow types
configured in the case of XYZ is as follows:
OTC Derivatives
F.Type Name
1150 Interest capitalization
1200 Interest
1300 Option Premium - Profit/Loss
Money Market
F.Type Name
1150 Interest capitalization
1200 Nominal interest
1908 Bank Guarantee Commission

3.17 Link to Other Accounting Components – Account

Assignment Reference (AAR)
Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Link to Other Accounting Components  Define
Account Assignment Reference
Configuration Description:
Account Assignment Reference is the medium to identify the position
account for each different kind/nature of process thereby the deal.
Based on the processes mapped for XYZ, following list of Account
Assignment References have been created:
AcctAssRef Name of account assignment reference
DERVSWAP Derivative Swaps
FX60A102 Forward Contract

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MM51A100 FD - Margin Money
MM51A200 Borrowing - Fixed Deposit
MM52A100 Investment - Deposit at Notice
MM52A200 Borrowing - Deposit at Notice
MM54A200 Bank Guarantee
MM55AS200 LOC - Line Of Credit
MM55BS200 Secured Term Loan for Project Development
MM55BU200 Unsecured Term Loan for Project Development
MM55CS200 Secured Term Loan By Discounting Of Rent Receivables
MM55CU200 Unsecured Term Loan By Discounting Of Rent
Receivables
MM55DS200 Secured General Term Loan
MM55DU20 Unsecured General Term Loan
0
MM55ES200 Secured Forex Loan
MM55EU200 Unsecured Forex Loan
MM55FS200 Secured Inter Corporate Borrowings
MM55FU200 Unsecured Inter Corporate Borrowings
MM55GS200 Secured Vehicle Loan
MM55HS200 Secured External Commercial Borrowing
MM55HU20 UnSecured External Commercial Borrowing
0
MM55IU200 Unsecured ICD Others
MM55KU200 Letter of Credit
MM55ZU100 Loan Given
MMFACILIT Facility Charges
Y
SE0001A Account Assignment Reference for Securities
SE0002A Account Assignment Reference for Mutual Funds
SE0004H Account Assignment Reference for Inv in Bonds
SE0004I Account Assignment Ref. for Inv in Bonds
SE0004Z Account Assignment Ref. for Issue of Bonds
SEPTS2001 Acct Assign Ref for Secured Non-convertible
Debentures
SEPTS2002 Acct Assign Ref for Secured Partially Convertible
Debentures
SEPTS2003 Acct Assign Ref for Secured Fully Convertible
Debentures
SEPTS2004 Acct Assign Ref for Secured Optionally Convertible
Debenture
SEPTU2001 Acct Assign Ref for UnSecured Non-convertible
Debentures

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SEPTU2002 Acct Assign Ref for UnSecured Partially Convertible
Debentures
SEPTU2003 Acct Assign Ref for UnSecured Fully Convertible
Debentures
SEPTU2004 Acct Assign Ref for UnSecured Optionally Convertible
Debentures

3.18 Link to Other Accounting Components – Define Account

Assignment Reference Determination (OTC Transactions)
Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Link to Other Accounting Components  Define
Account Assignment Reference Determination (OTC Transactions)
Configuration Description:
Based on derivation rule concept offered by TR, you derive the account
assignment reference for your processes pertaining to the area of OTC
(Money Market, Forex and Derivatives). The following configuration
has been done for XYZ:

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MM Derivation
Rule.xls

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02 Derivation Rule
For Facilities.xls

03 Derivation Rule
For Forex.xls

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04 Derivation Rule
for Swaps.xls

3.19 Link to Other Accounting Components – Define Account

Assignment Reference Determination (Securities and Listed
Derivatives)
Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Link to Other Accounting Components  Define
Account Assignment Reference Determination (OTC Transactions)
Configuration Description:
Based on derivation rule concept offered by TR, you derive the account
assignment reference for your processes pertaining to the area of
Securities and Listed Derivatives. The following configuration has been
done for XYZ:

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05 Derivation Rule
for Inv in Sec and Bonds.xls

06 Derivation Rule
for Issue of Debentures.xls

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07 Derivation Rule
for Issue of Bonds.xls

3.20 Indicate Update Type as relevant for posting

Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Link to Other Accounting Components  Update Type
Relevant to Posting
Configuration Description:
As suggested by the name in this node you specify whether an update
type is relevant for posting i.e. needs to generate an accounting entry
or not. Standard entries of SAP have not been changed and new entries
created have been appropriately assigned in this node.

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3.21 Account Determination

Menu Path: SPRO  TR  Transaction Manager  General Settings
 Accounting  Link to Other Accounting Components  Account
Determination
Configuration Description:

In this IMG activity you define the account determination settings for
the flows in the valuation areas. The account determination settings
define the accounts to be used when the flows are posted to Financial
Accounting.
Note:
The system only posts flows in the valuation areas if an update type
is set as relevant to posting under Indicate Update Types as Relevant
to Posting and posting specifications have been defined for the
corresponding update types in this IMG activity.

Process flow
1. Define Account Symbols: In the step Definition of Account Symbols
you define abstract account symbols. You use the account symbols to define
posting specifications, which you then assign to the update types. 1: n
assignment is possible, that is, you can assign a set of posting specifications
to n different update types.

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Afterwards, you assign the G/L accounts to the account symbols. You can
make this G/L account assignment dependent on the following factors:
valuation area, account assignment reference and currency. You can create
new symbols by clicking on New Entries and maintaining the following
details:

a. Define an Acct symbol and Text

b. Posting Category: It defines the semantics of the account

symbol. It specifies what type of posting is involved and the currency
of the posting. If an update type posts to an account symbol, the
posting category is read from the account symbol; then, according to
the posting category, the specific amount in the appropriate currency
is found in the flow details and then posted. If the required details
(for example, the payment currency amount) are not found for a flow,
then the flow is not posted and an error message is issued. Following
standard logic has been used while creating an account symbol.

Acct
Symb Nature
1 Position Accounts
3 Bank Clearing
4 Profit Related posting
Other G/L Posting in Position
5 Currency
Other G/L Posting in Payment
6 Currency
9 Technical Clearing
It is recommended to create the new symbols by copying the existing
symbols.

Following is the list of account symbols.

08 Account
Symbols.xls

2. Define posting Specifications: In the step Definition of Posting

Specifications you define different sets of posting specifications (debit
and credit postings) using the account symbols.

Activities:
a. Specify the posting specifications.
b. Enter an ID for the document type: For TR new document types have
been created in line with new PCA.

c. Assign the following for both the debit and credit posting:
o A posting key
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o A defined account symbol

3. Assign Update types to posting specs: In this node you assign posting
specs to the update types. Two posting specs can be defined for each
update types. One is posting specs for a sub-ledger posting and the
other for bank or G/L account posing. This is controlled by marking the
field “Payment Transaction”, if the field is marked then the posting of
the update type will go to “Sub-ledger” otherwise it will go to “Bank or
GL account”. These posting details are triggered based on the Business
Partner payment details.

4. Assignment of G/L Accounts to Account Symbols:

Assign a G/L account to each account symbol. You use the account symbol
"position" to assign the G/L accounts to the various account assignment
references. You can make generic entries for all valuation areas, account
assignment references and currencies, or entries for specific valuation areas,
account assignment references and/or currencies.

If you combine the entries, you may theoretically have several valid entries (for
example, one entry with the matching account assignment reference and one with
the matching currency). In such cases, the system prioritizes the entries as
follows:
1. Valuation area
2. Account assignment reference
3. Currency
Notes
o For the fields Valuation area, Account assignment reference and
Currency you can make generic entries that apply for all valuation
areas, all account assignment references, or all currencies. To do
this, leave the corresponding field blank.

o For bank postings, you can substitute each digit in the G/L account
with a predefined number (0-9). This option could be used to select a
bank clearing account, for example. To do so, enter all 10 characters
for the G/L account number, and then use a '+' to  mask the
characters you do not want to be replaced by the predefined
numbers.

4 Money Market - Transaction Manager

4.1 Product Types
Menu Path: SPRO  TR  Transaction Manager  Money Market 
Define Product Types
Configuration Description:
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Product Type: Product types help to differentiate between different
Money market financial instruments. Differentiation is necessary if the
individual instruments are subject to different kind processing or
business requires them in a way wherein they need to be analyzed at
looked at individually
The product types created for XYZ are:

12 Money Market
Product Types.xls

4.2 Transaction Type

Menu Path: SPRO  TR  Transaction Manager  Money Market 
Transaction Types
Configuration Description:
Transaction Type: is used to bifurcate the product types for e.g. a fixed
term deposit can be borrowed or used for investment as well
Following details have to be specified while creating the transaction type
linkage to product type:
a) Transaction Category – Standard SAP entries
b) Number Ranges – For transaction, offers and simulation
c) Processing category – which has been set to ‘0002-with
settlement activities’ & ‘Automatic Posting Release (a transaction
does not have to be separately released prior to posting)’ for all
PT-TT combinations created for XYZ Limit Group – A parameter
required for Limit Management
d) Cash Flow – This field is required for product type ‘Deposits at
Notice’ as cash-flows generated for display in a transaction
depend on the value specified herein
The following transaction types have been linked for the respective
product types:
PTyp TTyp Name TType TCat Text
51A 100 Investment 100 FD - Margin Money
51A 200 Borrowing 200 FD - Margin Money
52A 100 Investment 100 Deposit at Notice
52A 200 Borrowing 200 Deposit at Notice
53A 100 Purchase 100 Commercial paper
53A 200 Sale 200 Commercial paper
54A 100 Investment 100 Bank Guarantee

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54A 200 Borrowing 200 Bank Guarantee
54B 200 Borrowing 200 Overdraft Against Loan
55A 200 Borrowing 200 LOC - Line Of Credit
55B 200 Borrowing 200 Term Loan For Project Devlpmnt
55C 200 Borrowing 200 Term Loan By Disct Of Rent Rec
55D 200 Borrowing 200 General Term Loan
55E 200 Borrowing 200 Forex Loan
55F 200 Borrowing 200 ICD Borrowings in Bank & Inst
55G 200 Borrowing 200 Vehicle Loan
55H 200 Borrowing 200 External Commercial Borrowings
55I 200 Borrowing 200 ICD Others
55K 200 Borrowing 200 Letter of Credit
55Z 100 Investment 100 Loan Given
56A 200 Obtained 200 Facility-LOC : Line Of Credit
56B 200 Obtained 200 Facility-Term Loan for Project
56C 200 Obtained 200 Facility- Rent Receivable Loan
56D 200 Obtained 200 Facility-General Term Loan
56E 200 Obtained 200 Facility-Forex Loan
56F 200 Obtained 200 Facility-Inter Corporate Borro
56H 200 Obtained 200 Facility-Ext Commercial Borrw
56I 200 Obtained 200 Facility-ICD Others
56J 200 Obtained 200 Facility-Bank Guarantee
56K 200 Obtained 200 Facility-Letter of Credit

4.3 Flow Types

Menu Path: SPRO  TR  Transaction Manager  Money Market 
Flow Types
Configuration Description:
Flows describe various events arising from creation, processing and
conclusion of any business transaction. These also form the basis for
updating transactions in FI and Cash Management
While defining a flow type you need to specify parameters like:
1) Classification
2) Flow Category
3) Its relevancy to:
a) Cash Management
b) Stock
c) Valuation
d) Posting
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e) P/L
f) Accrual/Deferral
4) Effective Interest Calculation
5) Accrued Interest with capital reduction flow
For the flows to be available while creating the business transaction
using the combination of PT-TT (Product Type & Transaction Type);
they should be assigned to the PT-TT Combination
Following flows have been mapped as per the annexure to the earlier
said PT-TT combinations created for XYZ

14 Alloc of Flow Type

To Prd Type.xls

4.4 Condition Type

The treatment of a flow type depends on the parameters (conditions)
specified in the deal. These parameters are made available by creating
what is called as ‘condition types’ for e.g. interest flow could be based on
the condition of fixed interest rate or variable interest rate. These
condition types may or may not be further backed up with a flow type.
While defining a condition type one has to specify its Classification,
Condition Category and Generated Flow Type, if any?
And as in the case of flow types to make these conditions available
while processing a business transaction as a deal, you need to map it to
the PT-TT combination.
The above said CTs have been mapped to the PT-TT combination as
follows:

15 Alloc of Condt
Type to Tran Type.xls

4.5 Update Type

Menu Path: SPRO  TR  Transaction Manager  Money Market 
Update Type
Configuration Description:
Update type essentially is a carrier for passing the necessary accounting
entry for each of the flows mapped in a TR deal and each flow type

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which is relevant to accounting needs necessarily to be linked with a
relevant and specific update type. There are two nodes in this section
 Define Update Types and Assign Usages: In this node you create
update types, if at all required, since standard SAP entries are
good enough to meet most of the business needs. We have
created incremental update types in few cases for XYZ. In this
node you create the update type and assign it to a specific usage.
The usage list is a standard SAP delivery and fixed i.e. cannot be
changed, added or deleted. The standard update types are
already linked to relevant usages and if you create any new
update type, which must be a copy of the existing update type
then assign the same usage as done by SAP to the original update
type.
 Assign Flow Type to Update Type: The unique combination of
flow type and direction is linked to one unique update type.
The list of update types linked to usages and list of flow type to
update type (specific to money market area) configuration delivered
by standard SAP and incrementally created for XYZ is as per the
attached link.

16 Update Type To
Usages.xls

5 Forex - Transaction Manager

5.1 Product Types

Menu Path: SPRO  TR  Transaction Manager  Foreign Exchange
 Define Product Types
Configuration Description:
Product Type: Product types help to differentiate between different
Forex market financial instruments. Differentiation is necessary if the
individual instruments are subject to different kind processing or
business requires them in a way wherein they need to be analyzed at
looked at individually

The product types created for XYZ are:

Product
Type Text Product Category
60A Foreign exchange (FX) Foreign exchange

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5.2 Transaction Type
Menu Path: SPRO  TR  Transaction Manager  Forex 
Transaction Types
Configuration Description:
Transaction Type: is used to bifurcate the product types for e.g. a
fixed term deposit can be borrowed or used for investment as well

Following details have to be specified while creating the transaction type

linkage to product type:

a) Transaction Category – Standard SAP entries

b) Number Ranges – For transaction, offers and simulation
c) Processing category – which has been set to ‘0002-with settlement
activities’ & ‘Automatic Posting Release (a transaction does not
have to be separately released prior to posting)’ for all PT-TT
combinations created for XYZ Limit Group – A parameter required
for Limit Management
The following transaction types have been linked for the respective
product types:
Product Transaction
Type Text Type Text
60A Foreign exchange (FX) 102 Forward

5.3 Flow Types

Menu Path: SPRO  TR  Transaction Manager  Forex  Flow
Types
Configuration Description:
Flows describe various events arising from creation, processing and
conclusion of any business transaction. These also form the basis for
updating transactions in FI and Cash Management
While defining a flow type you need to specify parameters like:
1) Classification
2) Flow Category
3) Its relevancy to:
a) Cash Management
b) Stock
c) Valuation
d) Posting
e) P/L
f) Accrual/Deferral
4) Effective Interest Calculation
5) Accrued Interest with capital reduction flow

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For the flows to be available while creating the business transaction
using the combination of PT-TT (Product Type & Transaction Type);
they should be assigned to the PT-TT Combination

Following flows have been mapped as per the annexure to the earlier

said PT-TT combinations created for XYZ

PT PT Desc TTy Desc TTyp Flow Type

p
60A Foreign exchange 102 Forward Transaction 0010
(FX)
60A Foreign exchange 102 Forward Transaction 1000
(FX)
60A Foreign exchange 102 Forward Transaction 1031
(FX)
60A Foreign exchange 102 Forward Transaction 2000
(FX)

5.4 Update Type

Menu Path: SPRO  TR  Transaction Manager  Forex  Update
Types
Configuration Description:
Update type essentially is a carrier for passing the necessary accounting
entry for each of the flows mapped in a TR deal and each flow type
which is relevant to accounting needs necessarily to be linked with a
relevant and specific update type. There are three nodes in this section
 Define Update Types and Assign Usages: In this node you create
update types, if at all required, since standard SAP entries are
good enough to meet most of the business needs. We have
created incremental update types in few cases for XYZ. In this
node you create the update type and assign it to a specific usage.
The usage list is a standard SAP delivery and fixed i.e. cannot be
changed, added or deleted. The standard update types are
already linked to relevant usages and if you create any new
update type, which must be a copy of the existing update type
then assign the same usage as done by SAP to the original update
type.
 Assign Flow Type to Update Type: The unique combination of
flow type and direction is linked to one unique update type.
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 Assign Update Type for Position Update: This is a standard SAP
node wherein you need to maintain the open and close position
update types for forex and derivative PT-TT combinations. The
settings here are to be done exactly as per standard SAP entry.
For newly created product types in these areas for XYZ, the
setting as per standard entry has been maintained
The list of update types linked to usages and list of flow type to
update type (specific to money market area) configuration delivered
by standard SAP and incrementally created for XYZ is as per the
attached link.

16 Update Type To 17 Assgn Trans Flow

Usages.xls Type to Update Type.xls

6 Derivatives - Transaction Manager

6.1 Product Types

Menu Path: SPRO  TR  Transaction Manager  Derivatives 
Define Product Types
Configuration Description:
Product Type: Product types help to differentiate between different
Derivative financial instruments. Differentiation is necessary if the
individual instruments are subject to different kind processing or
business requires them in a way wherein they need to be analyzed at
looked at individually

The product types created for XYZ are:

Product Type Text Product Category
62A Interest rate swap (IRS) SWAP
62B Full Currency Swap SWAP

6.2 Transaction Type

Menu Path: SPRO  TR  Transaction Manager  Derivatives 
Transaction Types
Configuration Description:
Transaction Type: is used to bifurcate the product types for e.g. a
fixed term deposit can be borrowed or used for investment as well
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Following details have to be specified while creating the transaction type

linkage to product type:

a) Transaction Category – Standard SAP entries

b) Number Ranges – For transaction, offers and simulation
c) Processing category – which has been set to ‘0002-with settlement
activities’ & ‘Automatic Posting Release (a transaction does not
have to be separately released prior to posting)’ for all PT-TT
combinations created for XYZ Limit Group – A parameter required
for Limit Management

The following transaction types have been linked for the respective
product types:

PTyp TTyp Name of TransType TCat Text

62A 300 Payer 300 Interest rate swap (IRS)
62A 301 Recipient 300 Interest rate swap (IRS)
62A 302 Basis 300 Interest rate swap (IRS)
62B 300 Payer 300 Cross-curr.int.rate swap (CCS)
62B 301 Recipient 300 Cross-curr.int.rate swap (CCS)
62B 302 Basis 300 Cross-curr.int.rate swap (CCS)
62B 303 Swap for the Swaption 300 Cross-curr.int.rate swap (CCS)
62B 304 Fix to Fix 300 Cross-curr.int.rate swap (CCS)

6.3 Flow Types

Menu Path: SPRO  TR  Transaction Manager  Forex  Flow
Types
Configuration Description:
Flows describe various events arising from creation, processing and
conclusion of any business transaction. These also form the basis for
updating transactions in FI and Cash Management
While defining a flow type you need to specify parameters like:
1) Classification
2) Flow Category
3) Its relevancy to:
g) Cash Management
h) Stock
i) Valuation
j) Posting
k) P/L
l) Accrual/Deferral
4) Effective Interest Calculation
5) Accrued Interest with capital reduction flow
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For the flows to be available while creating the business transaction

using the combination of PT-TT (Product Type & Transaction Type);
they should be assigned to the PT-TT Combination

Following flows have been mapped as per the annexure to the earlier

said PT-TT combinations created for XYZ

PT PT Desc TTYpe TTp Desc Flow Type Flow Type Desc

62A Interest rate swap (IRS) 300 Payer 1105 Nom.Amt Incr.(Not Rel.f.Postg)
62A Interest rate swap (IRS) 300 Payer 1115 Nom.Amt Decr.(Not Rel.f.Postg)
62A Interest rate swap (IRS) 300 Payer 1900 Charge
62A Interest rate swap (IRS) 300 Payer 1901 Termination
62A Interest rate swap (IRS) 301 Recipient 1105 Nom.Amt Incr.(Not Rel.f.Postg)
62A Interest rate swap (IRS) 301 Recipient 1115 Nom.Amt Decr.(Not Rel.f.Postg)
62A Interest rate swap (IRS) 301 Recipient 1900 Charge
62A Interest rate swap (IRS) 301 Recipient 1901 Termination
62A Interest rate swap (IRS) 302 Basis 1105 Nom.Amt Incr.(Not Rel.f.Postg)
62A Interest rate swap (IRS) 302 Basis 1115 Nom.Amt Decr.(Not Rel.f.Postg)
62A Interest rate swap (IRS) 302 Basis 1900 Charge
62A Interest rate swap (IRS) 302 Basis 1901 Termination
Swap for the
62A Interest rate swap (IRS) 303 Swaption 1105 Nom.Amt Incr.(Not Rel.f.Postg)
Swap for the
62A Interest rate swap (IRS) 303 Swaption 1115 Nom.Amt Decr.(Not Rel.f.Postg)
Swap for the
62A Interest rate swap (IRS) 303 Swaption 1900 Charge
Swap for the
62A Interest rate swap (IRS) 303 Swaption 1901 Termination
Cross-curr.int.rate swap
62B (CCS) 300 Payer 1100 Nom.Amt Incr.(Not Rel.f.Postg)
Cross-curr.int.rate swap
62B (CCS) 300 Payer 1105 Nom.Amt Incr.(Not Rel.f.Postg)
Cross-curr.int.rate swap
62B (CCS) 300 Payer 1110 Nom.Amt Decr. (Rel.f.Posting)
Cross-curr.int.rate swap
62B (CCS) 300 Payer 1900 Charge
Cross-curr.int.rate swap
62B (CCS) 300 Payer 1901 Termination
Cross-curr.int.rate swap
62B (CCS) 301 Recipient 1100 Nom.Amt Incr.(Not Rel.f.Postg)
Cross-curr.int.rate swap
62B (CCS) 301 Recipient 1110 Nom.Amt Decr. (Rel.f.Posting)
Cross-curr.int.rate swap
62B (CCS) 301 Recipient 1900 Charge
Cross-curr.int.rate swap
62B (CCS) 301 Recipient 1901 Termination
Cross-curr.int.rate swap
62B (CCS) 302 Basis 1100 Nom.Amt Incr.(Not Rel.f.Postg)

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Cross-curr.int.rate swap
62B (CCS) 302 Basis 1110 Nom.Amt Decr. (Rel.f.Posting)
Cross-curr.int.rate swap
62B (CCS) 302 Basis 1900 Charge
Cross-curr.int.rate swap
62B (CCS) 302 Basis 1901 Termination
Cross-curr.int.rate swap Swap for the
62B (CCS) 303 Swaption 1100 Nom.Amt Incr.(Not Rel.f.Postg)
Cross-curr.int.rate swap Swap for the
62B (CCS) 303 Swaption 1110 Nom.Amt Decr. (Rel.f.Posting)
Cross-curr.int.rate swap Swap for the
62B (CCS) 303 Swaption 1900 Charge
Cross-curr.int.rate swap Swap for the
62B (CCS) 303 Swaption 1901 Termination
Cross-curr.int.rate swap
62B (CCS) 304 Fix to Fix 1100 Nom.Amt Incr.(Not Rel.f.Postg)
Cross-curr.int.rate swap
62B (CCS) 304 Fix to Fix 1110 Nom.Amt Decr. (Rel.f.Posting)
Cross-curr.int.rate swap
62B (CCS) 304 Fix to Fix 1900 Charge
Cross-curr.int.rate swap
62B (CCS) 304 Fix to Fix 1901 Termination

6.4 Update Type

Menu Path: SPRO  TR  Transaction Manager  Forex  Update
Types
Configuration Description:
Update type essentially is a carrier for passing the necessary accounting
entry for each of the flows mapped in a TR deal and each flow type
which is relevant to accounting needs necessarily to be linked with a
relevant and specific update type. There are three nodes in this section
 Define Update Types and Assign Usages: In this node you create
update types, if at all required, since standard SAP entries are
good enough to meet most of the business needs. We have
created incremental update types in few cases for XYZ. In this
node you create the update type and assign it to a specific usage.
The usage list is a standard SAP delivery and fixed i.e. cannot be
changed, added or deleted. The standard update types are
already linked to relevant usages and if you create any new
update type, which must be a copy of the existing update type
then assign the same usage as done by SAP to the original update
type.

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 Assign Flow Type to Update Type: The unique combination of
flow type and direction is linked to one unique update type.
 Assign Update Type for Position Update: This is a standard SAP
node wherein you need to maintain the open and close position
update types for forex and derivative PT-TT combinations. The
settings here are to be done exactly as per standard SAP entry.
For newly created product types in these areas for XYZ, the
setting as per standard entry has been maintained
The list of update types linked to usages and list of flow type to
update type (specific to money market area) configuration delivered
by standard SAP and incrementally created for XYZ is as per the
attached link.

"Update Type and "OTC DE Flow Type "FX Update Type to

Usages.xls" to Update Type.xls" Position Update.xls"

6.5 Condition Types

Menu Path: SPRO  TR  Transaction Manager  Money Market 
Condition Types
Configuration Description:
The treatment of a flow type depends on the parameters (conditions)

specified in the deal. These parameters are made available by creating

what is called as ‘condition types’ for e.g. interest flow could be based on

the condition of fixed interest rate or variable interest rate. These

condition types may or may not be further backed up with a flow type.

While defining a condition type one has to specify its Classification,

Condition Category and Generated Flow Type, if any.

And as in the case of flow types to make these conditions available

while processing a business transaction as a deal, you need to map it to
the PT-TT combination.

The above said CTs have been mapped to the PT-TT combination as
follows:

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PTyp Text TTyp TransType CTyp Name of condition type (long)

62A Interest rate swap (IRS) 300 Payer 1125 Closing (not rel. to posting)
62A Interest rate swap (IRS) 300 Payer 1150 Interest Capitalization
62A Interest rate swap (IRS) 300 Payer 1160 Capitalized Interest Payment
62A Interest rate swap (IRS) 300 Payer 1200 Interest
62A Interest rate swap (IRS) 300 Payer 1210 Interest rate adjustment
62A Interest rate swap (IRS) 301 Recipient 1125 Closing (not rel. to posting)
62A Interest rate swap (IRS) 301 Recipient 1150 Interest Capitalization
62A Interest rate swap (IRS) 301 Recipient 1160 Capitalized Interest Payment
62A Interest rate swap (IRS) 301 Recipient 1200 Interest
62A Interest rate swap (IRS) 301 Recipient 1210 Interest rate adjustment
62A Interest rate swap (IRS) 302 Basis 1125 Closing (not rel. to posting)
62A Interest rate swap (IRS) 302 Basis 1150 Interest Capitalization
62A Interest rate swap (IRS) 302 Basis 1160 Capitalized Interest Payment
62A Interest rate swap (IRS) 302 Basis 1200 Interest
62A Interest rate swap (IRS) 302 Basis 1210 Interest rate adjustment
Swap for the
62A Interest rate swap (IRS) 303 Swaption 1125 Closing (not rel. to posting)
Swap for the
62A Interest rate swap (IRS) 303 Swaption 1150 Interest Capitalization
Swap for the
62A Interest rate swap (IRS) 303 Swaption 1160 Capitalized Interest Payment
Swap for the
62A Interest rate swap (IRS) 303 Swaption 1200 Interest
Swap for the
62A Interest rate swap (IRS) 303 Swaption 1210 Interest rate adjustment
62B Cross-curr.int.rate swap (CCS) 300 Payer 1120 Closing (Rel. to Posting)
62B Cross-curr.int.rate swap (CCS) 300 Payer 1150 Interest Capitalization
62B Cross-curr.int.rate swap (CCS) 300 Payer 1160 Capitalized Interest Payment
62B Cross-curr.int.rate swap (CCS) 300 Payer 1200 Interest
62B Cross-curr.int.rate swap (CCS) 300 Payer 1210 Interest rate adjustment
62B Cross-curr.int.rate swap (CCS) 301 Recipient 1120 Closing (Rel. to Posting)
62B Cross-curr.int.rate swap (CCS) 301 Recipient 1150 Interest Capitalization
62B Cross-curr.int.rate swap (CCS) 301 Recipient 1160 Capitalized Interest Payment
62B Cross-curr.int.rate swap (CCS) 301 Recipient 1200 Interest
62B Cross-curr.int.rate swap (CCS) 301 Recipient 1210 Interest rate adjustment
62B Cross-curr.int.rate swap (CCS) 302 Basis 1120 Closing (Rel. to Posting)
62B Cross-curr.int.rate swap (CCS) 302 Basis 1150 Interest Capitalization
62B Cross-curr.int.rate swap (CCS) 302 Basis 1160 Capitalized Interest Payment
62B Cross-curr.int.rate swap (CCS) 302 Basis 1200 Interest
62B Cross-curr.int.rate swap (CCS) 302 Basis 1210 Interest rate adjustment
Swap for the
62B Cross-curr.int.rate swap (CCS) 303 Swaption 1120 Closing (Rel. to Posting)
Swap for the
62B Cross-curr.int.rate swap (CCS) 303 Swaption 1150 Interest Capitalization
Swap for the
62B Cross-curr.int.rate swap (CCS) 303 Swaption 1160 Capitalized Interest Payment

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Swap for the
62B Cross-curr.int.rate swap (CCS) 303 Swaption 1200 Interest
Swap for the
62B Cross-curr.int.rate swap (CCS) 303 Swaption 1210 Interest rate adjustment
62B Cross-curr.int.rate swap (CCS) 304 Fix to Fix 1120 Closing (Rel. to Posting)
62B Cross-curr.int.rate swap (CCS) 304 Fix to Fix 1150 Interest Capitalization
62B Cross-curr.int.rate swap (CCS) 304 Fix to Fix 1160 Capitalized Interest Payment
62B Cross-curr.int.rate swap (CCS) 304 Fix to Fix 1200 Interest
62B Cross-curr.int.rate swap (CCS) 304 Fix to Fix 1210 Interest rate adjustment

7 Transaction Manager – Securities

7.1 Basic Settings
Menu Path: SPRO  TR  Transaction Manager  Securities  Basic
Settings  Define Exchange.
Configuration Description:
In this step you can define the relevant exchanges and enter important
parameters and information for each exchange.
Requirements
You have already defined the following:
(a) Country keys
(b) Calendar IDs
(c) Currency keys
If the necessary prerequisites have not been fulfilled, you can now call
up the corresponding Customizing screens:
 Define countries by choosing General Settings -> Set Countries ->
Define Countries
 Maintain calendar ID by choosing General Settings -> Maintain
Calendar
 Check currency codes by choosing General Settings -> Currencies ->
Check Currency Codes
Activities
1. Choose Edit -> New entries
2. Define a key for each exchange and enter a short and long text.
3. On the detail screen, enter the following details:

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a) the country where the exchange is situated
b) which calendar is valid
c) which local currency is relevant

Exchang Ct Ca Crc
e y l y Long name Short name
Bombay Stock
BSE IN IN INR Bombay Stock Exchange Ex
NSE IN IN INR National Stock Exchange National Stock
LSE GB GB GBP London Stock Exchange London

7.2 Securities – Master Data Number Range

Menu Path: SPRO  TR  Transaction Manager  Securities  Basic
Settings  Master Data  Product Type  Define Number Ranges for
Security Classes
Configuration Description:
In In this section you define number ranges which you later assign to
product types.
Within this number range interval, you define the class data for the
individual product types later.

No. From No. To No.

Range
10 0000000000 0000000099
001 999
11 0000000100 0000000199
000 999

7.3 Securities – Condition Types

Menu Path: SPRO  TR  Transaction Manager  Securities  Basic
Settings  Master Data  Product Type  Condition Types  Define
Condition Types
Configuration Description:
In this step you define your condition types for the securities area.

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For each condition type, you create a three-character key and assign
the appropriate flow type to it. The system then assigns the flow
category and the FiMa calculation category from the flow type to the
condition type automatically.
In order to ensure correct cash flow processing, you must enter a
reference condition type for some condition types. For floaters, for
example, the interest rate adjustment date or the fixing of the
maximum or minimum interest rate refers to the variable interest rate.
You must enter the indicator of the corresponding reference condition
type in the RefC (in this case, "Variable interest").
For some condition types you only need to enter the FiMa calculation
category.
You use field selection control to define which fields should appear for
each condition type and whether they should be mandatory, optional or
just display fields. For example, the field "Ref.int.rate" is required for
the condition type "Variable interest", but can be hidden for the
condition type "Fixed interest".
Standard settings
The following condition types are delivered with the system to cover
common business transactions in the securities area. You can use these
condition types without making any adjustments.
Condition
Condition type text
type
Interest (percentage-
100
quoted)
101 Variable interest
111 Dividend
113 Bonus
116 Profit distribution
118 Repayment rate
119 Repayment price
133 Additional payment
134 Interest (unit-quoted)
Interest rate
209
adjustment
Full repayment upon
263
maturity
300 Issue: Interest

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301 Issue: Var. Interest
309 Issue: Int. Adjust.
311 Issue: Inst. Repayt.
312 Issue: Payoff

Recommendation
SAP recommends that you work with the condition types delivered with
the system.
7.4 Securities – Condition Groups
Menu Path: SPRO  TR  Transaction Manager  Securities  Basic
Settings  Master Data  Product Type  Condition Types  Define
Condition Groups
Configuration Description:
In this step you define the various condition groups, to which you then
assign your condition types (IMG step: Assign Condition Types to
Condition Groups.
Condition groups are the entities to which both condition types and
product types are attached thereby linking the condition types to
product types. Following are the condition groups relevant to XYZ
implementation:
C Group Text
0 No Conditions (Sub.Rights, Warr.)
10 Stocks
11 Stocks (Partly Paid)
21 Shareholdings (Unit-Quoted)
30 Investment Certificates
41 Fixed-Int.Securities (unit-q.)
42 Float-Int.Securities (perc.-q)
300 Issue: Fixed Interest
Security
310 Issue: Variable Interest Sec.
45 Bonds with Instalment
Repmnt
46 Bonds with Annuity
Repayment

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7.5 Securities – Assign Condition Types to condition Groups
Menu Path: SPRO  TR  Transaction Manager  Securities  Basic
Settings  Master Data  Product Type  Condition Types  Assign
Condition Types to Condition Groups
Configuration Description:
In this step you define the various condition group Following is the
relevant linkage between condition types and condition groups for XYZ
implementation.
In addition, you define the sequence in which the condition types within
a condition group are displayed, and for which condition types entries
are mandatory. Conditions that are used less frequently in a particular
condition group can be suppressed. The suppressed condition types are
not shown in the standard maintenance dialog. You need to make an
additional selection to call them up.
For each condition group and condition type, you can also define
default values for the individual condition fields.
C.
Group Text C. Type Text
10 Stocks 111 Dividend
11 Stocks (Partly Paid) 111 Dividend
Additional
11 Stocks (Partly Paid) 133 payment
Shareholdings (Unit-
21 Quoted) 111 Dividend
30 Investment Certificates 116 Profit distribution
Fixed-Int.Securities
040 (perc.-q) 0100 Int. (perc.-quoted)
Fixed-Int.Securities
040 (perc.-q) 0118 Repayment rate
Fixed-Int.Securities
040 (perc.-q) 0263 Final repayment
Fixed-Int.Securities (unit-
041 q.) 0119 Repayment price
Fixed-Int.Securities (unit-
041 q.) 0134 Int. (unit-quoted)
Fixed-Int.Securities (unit-
041 q.) 0263 Final repayment
Float-Int.Securities
042 (perc.-q) 0101 Variable interest
042 Float-Int.Securities 0118 Repayment rate

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(perc.-q)
Float-Int.Securities Int. rate
042 (perc.-q) 0209 adjustment
Float-Int.Securities
042 (perc.-q) 0263 Final repayment
043 Zero Bonds (perc.-quot.) 0118 Repayment rate
043 Zero Bonds (perc.-quot.) 0263 Final repayment
044 Drawable Bonds 0100 Int. (perc.-quoted)
044 Drawable Bonds 0118 Repayment rate
Bonds with Instalment
045 Repmnt 0100 Int. (perc.-quoted)
Bonds with Instalment
045 Repmnt 0118 Repayment rate
Bonds with Instalment Instalment
045 Repmnt 0262 repayment
Bonds with Annuity
046 Repayment 0100 Int. (perc.-quoted)
Bonds with Annuity
046 Repayment 0118 Repayment rate
Bonds with Annuity Annuity
046 Repayment 0261 repayment
Issue: Fixed Interest
300 Security 300 Issue: Interest
Issue: Fixed Interest Issue: Final
300 Security 312 Repayt
Issue: Variable Interest Issue: Var.
310 Sec. 301 Interest
Issue: Variable Interest
310 Sec. 309 Issue: Int. Adjust.
Issue: Variable Interest Issue: Final
310 Sec. 312 Repayt

7.6 Securities – Define Product Types

Menu Path: SPRO  TR  Transaction Manager  Securities  Basic
Settings  Master Data  Product Type  Define Product Types
Configuration Description:
Product types help to differentiate between different Money market
financial instruments. Differentiation is necessary if the individual
instruments are subject to different kind processing or business
requires them in a way wherein they need to be analyzed at looked at
individually

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While creating the product types following fields have to be specified:

 Product Category – Standard SAP entries
 Condition Group
 Number Range – For creating class ID for securities
 Limit Group – A parameter required for Limit Management
Following are the relevant product types for XYZ Implementation:

Product P. C.
Type Text Category Group
01A Stocks 10 10
02A Mutual Fund 20 30
03A Subscription rights 30 0
04H Variable rate bonds 40 42
04I Fixed-interest bonds 40 40
04X Issue: Fixed Int 40 300
Debentures
04Y Issue: Variable Int 40 310
Debentures
04Z Issue: Fixed Int Bonds 40 300

7.7 Securities – Define Company Code Dependent Settings for

Product Type
Menu Path: SPRO  TR  Transaction Manager  Securities  Basic
Settings  Master Data  Product Type  Define Company Code
Dependent Settings for Product Types
Configuration Description:
Herein you specify for each product type within a company code the
following field values:
CM Period – This is used as a basis for updating cash management
1. FI Posting – Whether the flows are relevant for FI posting and if
so are they to be processed via GL or customer accounts. For XYZ
implementation we have flagged the option of ‘4’ i.e. FI postings
via sub-ledger w/o customer account for all product types

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2. Posting control – This field informs the system whether flow
mapped to this PT would be processed using ‘Automatic Debit’
function or otherwise
3. Incoming payment - The indicator controls the immediate
generation of an incoming payment together with the debit
position
4. Generate Taxes - Tax generation indicator indicates whether
taxes are to be generated for a product type in a company code

19 Settings for
PT.xls

7.8 Securities – Specific Class Data

Menu Path: SPRO  TR  Transaction Manager  Securities  Basic
Settings  Master Data  Product Type  Specific Class Data
Configuration Description:
This node caters to various field options, which would enable the
business to classify their investments in securities within a product
type into further groupings as driven by the product feature and as per
business requirement. For example in the case of XYZ implementation
for product type 02A – Investment Certificate the grouping for the field
‘Fund Type’ has been used in a way to enable the business to look at
the Mutual Fund Investments as per their MIS requirement.
7.9 Securities – Transaction Types
Menu Path: SPRO  TR  Transaction Manager  Securities 
Transaction Management  Transaction Types  Define Transaction
Types
Configuration Description:
The basic purchase types used in securities area are Purchase (100)
and Sale (200). And both these have been attached to all the product
types relevant for XYZ as said above. The important fields, which are to
be specified while maintaining this linkage, are:
1. Transaction Category – Standard SAP entries
2. Number Ranges – For transaction, offers and simulation
3. Processing category – which has been set to ‘0002-with
settlement activities’ & ‘Automatic Posting Release (a transaction

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does not have to be separately released prior to posting)’ for all
PT-TT combinations created for XYZ
4. Payment Details – The option of automatic derivation from
business partner and security account master data, in the order,
has been set for all entries under this node
PTyp Text TTyp Name
01A Stocks 100 Purchase
01A Stocks 200 Sale
02A Mutual Fund 100 Purchase
02A Mutual Fund 200 Sale
03A Subscription rights 100 Purchase
03A Subscription rights 200 Sale
04H Variable rate bonds 100 Purchase
04H Variable rate bonds 200 Sale
04I Fixed-interest bonds 100 Purchase
04I Fixed-interest bonds 200 Sale
04K Unit-quoted bonds 100 Purchase
04K Unit-quoted bonds 200 Sale
04X Issue: Fixed Int Debentures 300 Issue: Placement
04X Issue: Fixed Int Debentures 400 Issue: Redemption
04Y Issue: Variable Int Debentures 300 Issue: Placement
04Y Issue: Variable Int Debentures 400 Issue: Redemption
04Z Issue: Fixed Int Bonds 300 Issue: Placement
04Z Issue: Fixed Int Bonds 400 Issue: Redemption

7.10 Flow Types

Menu Path: SPRO  TR  Transaction Manager  Securities 
Transaction Management  Flow Types
Configuration Description:
In securities area the flows are bifurcated into 2 categories viz, position
flow & transaction flow. The transaction management area is about
transaction flows.
In this step, you define all the flow types which you require in the
transaction management functions.
You assign a flow category to each flow type. The system uses the flow
category to determine the calculation category. The classification,
which divides the flow types according to business criteria, is always
'structure' for transaction flow types, and is therefore predefined in the
system.

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For each flow type, you define whether you want the flows to be
updated to Cash Management and Financial Accounting, in other
words, whether they are relevant to Cash Management and to posting.
Using the 'net payment amount' indicator, you can determine whether
the flow is included in the net payment amount calculation.
In the payment management area, indicate whether payment requests,
which are executed using the 'payment program for payment requests',
can be generated for this flow type. To do this, enter the corresponding
payment details in the transaction. You can choose from the following
payment requests for each flow type:
 None
 For outgoing payments
 For incoming payments
 For outgoing and incoming payments
Use the 'individual payment' field to control if the flow with this flow
type must be paid together with other flows, or if a single payment is
necessary.
Note here that the payment requests function is an optional condition,
but that the individual payment function is a required condition. In
other words, if the indicator is set for payment requests, a payment
request CAN be generated. If, however, the individual payments
indicator is set, payments MUST be made individually.
Recommendation
Use the settings in the sample Customizing when you define the flow
types for the transaction.

For the flows to be available while creating the business transaction

using the combination of PT-TT (Product Type & Transaction Type);
they should be assigned to the PT-TT Combination
Following flows have been mapped as per the annexure to the earlier
said PT-TT combinations created for XYZ

20 Security PT TO
Flow TYPE.xls

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7.11 Update Type
Menu Path: SPRO  TR  Transaction Manager  Securities 
Update Type
Configuration Description:
Update type essentially is a carrier for passing the necessary
accounting entry for each of the flows mapped in a TR deal and each
flow type which is relevant to accounting needs necessarily to be linked
with a relevant and specific update type. There are two nodes in this
section
 Define Update Types and Assign Usages: In this node you create
update types, if at all required, since standard SAP entries are
good enough to meet most of the business needs. We have
created incremental update types in few cases for XYZ. In this
node you create the update type and assign it to a specific usage.
The usage list is a standard SAP delivery and fixed i.e. cannot be
changed, added or deleted. The standard update types are
already linked to relevant usages and if you create any new
update type, which must be a copy of the existing update type
then assign the same usage as done by SAP to the original update
type.
 Assign Flow Type to Update Type: The unique combination of
flow type and direction is linked to one unique update type.
The list of update types linked to usages and list of flow type to
update type (specific to money market area) configuration delivered
by standard SAP and incrementally created for XYZ is as per the
attached link.

21 Assign Update
Types to Flow Types.xls

7.12 Derived Flows

Menu Path: SPRO  TR  Transaction Manager  Securities 
Transaction Management  Flow Types Derived Flows Define
Derivation Procedures and Rules
Configuration Description:

You can set up the transaction management area of the system to

generate additional flows automatically on the basis of an original flow.
You do this by defining derivation procedures and then assigning rules

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to each procedure. The rules determine how one flow is generated from
another.

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