Create Accrual Transactions Process

The Create Accrual Transactions process instructs the system to generate deposit entry transactions for all KEMIDs for which accrued income is now payable. This process may be run early in the batch processing sequence, but it must be run to completion before the accrual calculations job is run. It may be run in parallel with the Post E-Docs process and with the Create Pooled Fund Distribution Transactions process.

Through the Create Accrual Transactions process, the system locates all active securities that have been accruing income and are now scheduled to distribute the income on the processing date. It then generates a transactional document that credits the accrued income to the KEMID spendable income. For each security record for which payment is now due, this process generates one or more Cash Increase (ECI) e-docs. Each Cash Increase e-doc:

• Has a document header that includes the description 'Accrued Income Distribution' or another standard description defined by your institution.

• Has a transaction sub-type of Cash (C).

• Has a transaction source type of Automated Entry (A).

• References a single security record.

Additionally, if a KEMID holds multiple tax lots of a security with accrued income due, each Cash Increase e-doc contains only one transaction line for each combination of KEMID, security, registration code, and income/principal indicator.

Using the MAXIMUM_TRANSACTION_LINES parameter, your institution specifies the maximum number of transaction lines that may be added to an e-doc through this batch process. Using the NO_ROUTE institutional parameter, your institution specifies whether the generated e-doc(s) should be submitted for approval or be blanket approved.