This article vill go trough step by step how to enter a Cap/Floor
- Go to New Deal and choose Cap/Floor
- Enter the Legal entity and Counterpart
- Choose if you would like to enter a cap or a floor in the drop down list. Note if a Collar need to be entered, first enter a Cap and then choose Add deal and enter a Floor, on the same deal.
- Choose if it is a buy or a sell in the drop down list
- Enter the currency and amount. The sign of the amount will be set automatically (Buy positive and Sell negative)
- Enter the begin and end date. Deal date is default TODAY but is possible to change
- Enter the cap or floor rate
- Enter the current interest, fixing and payment period,
- Last day of period should be ticked if the date always should be the last date of the month.
- Choose the correct Day Count Conventions from the drop down list
- Choose Date Rolling Behaviour
- Choose if both payment date and maturity date should be changed accordingly to the rolling behavior or just the payment date.
- Bank accounts will be default to the default bank accounts but it is possible to change
- Fill in relevant tags
- If needed add additional calendars
The premium needs be added as a one time fee How to enter Fees (one time and recurring)