Funding Request

This transaction is used to request funding from the Syndication Party by the grantor. Once the deal is opened and if a funding has been requested by the grantor, the Syndication Party must provide the requested funding and cannot deny the request. This transaction is an optional transaction, hence may or may not be created before the transaction Funding Inbooking.

Account Type “SY” for Funded Syndications:

In Funded Syndications the Syndication Partner will transfer funds for one or more sold liabilities to the grantor bank. The funds received will be credited to a special current account reserved for Funded Syndications. The funds received will be in the same currency as the Syndication. The Syndication Partner will receive an interest (“SYCXFU”) paid by the grantor for the amount that has been funded.

To identify the accounts, a new Account Type, “SY” for Syndication Accounts in the external codetable “Account Type (ACTTYP)” has been introduced and can be maintained via transaction (Maintain Codetables).

A Syndication Account can be set up like any other account via the account creation transaction Adding an Account. For the funding process to take place, a Syndication Account must be available to a Syndication Party in the same currency as the contract.

When Funded Syndications are received in the subsequent transaction (Funding Inbooking), they will be credited (e.g., using disposition Direct Account Credit “DAC”) to an account with type “SY”, in the currency of the contract with the holder of the account being the Syndication Party.

When Funded Syndications are paid back in the transaction Funding Repayment, they will be debited (e.g. using disposition “DAD”) to the same “SY” account that was used to credit the funds.

The account number is stored in the Syndication Liability Entry that has been funded.

Kindly refer to status_handling_of_syndication_deals for further particulars on Status Handling.

When the grantor requests for funding from the Syndication Party, the party must provide the requested funding and check the interest details in “Funding Interest Details” panel. The main panels used here are the Liabilities and Funding Request panels.

Syndication Liabilities: When the user requests funding, the status must be set to “Funding requested” manually.

Interest Details Panel:

Funding request: The text is loaded from the template defined in the ATX; the user can modify the details if required. This text is then used in the outgoing message to the Syndication Party.

An existing Syndication Deal which is open and not closed.
For incoming allNETT / RIVO messages see Overview of Incoming messages - allNETT / RIVO.

For more information see TRNDIA Diaries.

None

Details on creation of messages can be found under DOCEOT Messages. For outgoing allNETT / RIVO messages see Overview of Outgoing messages - allNETT / RIVO.

Kindly refer to deal_message_handling for further particulars on Deal Message Handling.

Syndication Liabilities
Funding Request
Overview
Details
Interest Details
Completion
Messages
Attachments
Settlement
Bookings
Settlement Details