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Handle account interest

FA Fund management calculates accrued interest on the fund portfolio positions and cash accounts. The calculation is carried out every time you calculate NAV or every time you calculate fees, if you set up a separate workflow for fees (see Ongoing fees). You can track the accrued interest amount in the NAV overview (Accrued interests and Accrued account interests fields): View and check NAV calculation.

Calculate accrued interest on fund portfolio positions

Accrued interest on the fund portfolio holdings is calculated automatically based on the fixings information entered for securities in FA Back. To learn more, see Bonds in FA User guide.

Calculate accrued account interest

To calculate and capitalize the accrued interest of the fund’s investments, follow the steps:

  1. Define the accrued interest properties using one of the options:

    • Define the cash account interest in FA Fund management app, the same way as you define fund fees: open the fund or share class settings (Fee structure tab). Choose the fee formula, and specify the percentage and the number of decimals.

    • Define the interest in FA Back's Portfolio window, Accounts → Interest details tab. For instructions, see Calculate account interest.

    After you make these settings, account interest starts accruing and you can view the amount in FA Fund Management, NAV overview.

  2. Capitalize the account interest. Create a transaction to capitalize the cash account interest in FA Back.