Required information to create settlement files
The settlement files are mostly generated based on the data stored in transactions in FA. The following table lists how different data points are fetched from FA for the settlement files:
Data | Field/value in FA | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
Sender BIC | Transaction's portfolio's EXT ID SenderBIC | |||||||||
Receiver BIC | Transaction's portfolio's EXT ID ReceiverBIC | |||||||||
Place of safekeeping BIC and code | Transaction's internal info field settlementPlaceOfSafeKeepingBIC. If the place of safekeeping is not a National Central Securities Depository (NCSD), you can also define the code with settlementPlaceOfSafeKeepingCode. See https://www.iso20022.org/15022/uhb/mt540-44-field-94a.htm for available options. | |||||||||
Agent BIC | Transaction's Counterparty's Settlement place's field Agent. (The counterparty's settlement place must match the settlement place configured in the transaction.) | |||||||||
Counterparty BIC | Transaction's internal info field settlementCounterBIC. If not set, then the transaction's Counterparty's Settlement place's field Counter. (The counterparty's settlement place must match the settlement place configured in the transaction.) | |||||||||
Counterparty's account | Transaction's internal info field settlementCounterAccount. If not set, then the transaction's Counterparty's Settlement place's field Account. (The counterparty's settlement place must match the settlement place configured in the transaction.) | |||||||||
Counterparty's type | Transaction's counterparty's type (only used for Handelsbanken CSV) | |||||||||
Book entry account number | Transaction's internal info field settlementBookEntryAccount. If not set, then the transaction's portfolio's Book entry. | |||||||||
Cash account number | Transaction's internal info field settlementCashAccount. If not set, then the transaction's account's number. | |||||||||
Settlement place | Transaction's settlement place | |||||||||
Settlement channel | Transaction's tag Settlement channel. See below for more details on settlement channel, format and type. | |||||||||
Settlement format | Transaction's tag Settlement format. See below for more details on settlement channel, format and type. | |||||||||
Settlement type | Transaction's tag Settlement type. See below for more details on settlement channel, format and type. | |||||||||
Stamp duty indicator | Transaction's internal info field SettlementStampDutyIndicator. Value should be the type code, e.g. GBOX. | |||||||||
Transfer of beneficial ownership indicator | Transaction's internal info field SettlementTransferOfOwnership. Supported values yes, no, or no value provided. | |||||||||
Place of trade MIC | Transaction's internal info field SettlementPlaceOfTradeMIC. | |||||||||
Market place code | Transaction's market place's code (only used for Handelsbanken CSV) | |||||||||
Settled with cash indicator |
| |||||||||
Partial settlement allowed | Transaction's internal info field PartialSettlementAllowed. Supported values yes, no, or no value provided. | |||||||||
Agreement number | Transaction's internal info field SettlementAgreementNumber (only used for Danske Bank CSV). | |||||||||
Message type | Individual trades are reported with message type MT540, MT541, MT542 or MT543, depending on the trade characteristics:
See above the row Settled with cash indicator for details on how FOP/DVP is determined for individual transactions. |
The transaction related data above can be filled manually in transactions, but in many cases it is easier to use decision tables to automatically fill in the required information. The following decision table can be used as a basis for that: fa_settlements.xlsx. Note that the linked decision table is only for demonstration purposes; you probably need to adjust it for your specific use cases (for example, regarding handling of stamp duties and/or place of safekeeping values). For more information on decision tables, refer to the Developer Guide documentation: Business rules.
If you are use SEB as your settlement channel and ISO15022 format, you need to configure the Country code, Client ID, User ID and Environment. See FA Admin guide for details: Settlement configurations for SEB. This is not necessary if you use the CSV format that is uploaded manually to SEB Investor World. The CSV format follows SEB CSV specifications dated 2019/06/26.
Settlement channel, format and type
Settlement channel (the custody handling the settlement), format and type are indicated by transaction's tags.
Channel
The Settlement channel tag indicates your custodian where you send the settlement instructions to
Format
The Settlement format tag indicates the file format and the structure of the file used to create settlements.
Tag value ISO15022 indicates that the created file contains individual MT540-MT543 messages without any batch header and trailer messages
Tag value ISO15022 batch indicates that the created file contains individual MT540-MT543 messages with MT598 batch header and trailer messages
Tag value CSV indicates that the settlement file is created in CSV format. The exact format of the CSV file might vary based on the selected channel.
From our supported custodians, only SEB uses ISO15022 batch messages, and only Handelsbanken, SEB (when using manual upload via Investor World portal) and Danske Bank use CSV messages. For all other custodians, you should use the regular ISO15022 format.
Type
The Settlement type tag indicates if a transaction is an internal transfer within a custodian. From our supported custodians, only Nordea and Swedbank use this information. For all other custodians, this tag can be left empty, or it can always be filled with Settlement type-External.
Tag value Internal indicates that a special logic should be used when creating the settlement message:
All internal transfers are generated as MT542 messages, regardless of any other parameters of the transaction
Field
:70E::SPRO//ACCOUNT TRANSFERis created in subsequence BIn subsequence E1, the agent's BIC is always reported with qualifier
REAGIn the same subsequence, the counterparty's BIC is always reported with qualifier
BUYR