This document shows the process of booking corporate action – rights take up.
WHY IS THIS IMPORTANT?
Allows you to book Corporate Actions for rights take up in CS Lucas system.
1. From the main menu, select Transaction > Fund Management > Corporate Action. The screen below will be displayed.
2. Click New.
3. Choose the Action. Select Rights Take Up from the drop-down field.
4. Fill in the fields. Input the Exercise Date or the date when the action will happen.
5. Input the Parent Ticker. If you are unsure of the ticker name, type the first letter and press the Tab key on your keyboard. All the tickers that start with that letter will be displayed. Click on the ticker to use. If you do not see the desired ticker, please create it in Set Up > Static >Securities. See instructions on setting up equity in Set Up Security.
6. Input the Rights Ticker. If you are unsure of the ticker name, type the first letter and press the Tab key on your keyboard. All the tickers that start with that letter will be displayed. Click on the ticker to use. If you do not see the desired ticker, please create it in Set Up > Static >Securities. See instructions on setting up equity in Set Up Security.
7. Input the Ex Date.
8. Type the Ratio. In this example, it will be 5 for 1.
9. Input the take up price.
10. Click Update. The Corporate Action main screen will show the transaction.
11. To process the rights take up, click on the Action Ref
12. To book, click on the checkbox next to the portfolio and click Process. A message will be displayed that it has been processed.
13. An investment trade will be booked for the rights take up. Navigate to Transaction > Fund Management > Investment.
14. Select the Acct Cntr, Portfolio and filter by the Rights Ticker, click on the Refresh button.
15. The trade created from the corporate action will be displayed.
16. When the TradeID is clicked, it will not allow an edit. Similarly, the trade IVM100053.00 cannot be deleted. However, you may change the custodian. If you need to make amendments, the trade must be deleted from the Process Corporate Action screen and re-booked.
17. To delete, navigate back to Corporate Action maintain screen.
18. Select the portfolio with the Delete caption on the checkbox and click Process.
19. After delete is processed, the corporate action remains in place. You can now process it again.
20. To delete a corporate action itself (CAC100001.00), click Back button to return to Corporate Action screen.
21. Select the checkbox of the corporate action reference and click Delete. Note that the corporate action cannot be deleted if any of the portfolio has been processed in this corporate action.
22. The corporate action trade is now deleted.
FREQUENTLY ASKED QUESTIONS
FAQ01. Can the system handle corporate action for investment trade?
Corporate actions for investment trade can be booked under Transaction > Fund Management > Corporate Action in CS Lucas system. Access rights are required to access this module. Please check with your administrator to grant you the necessary rights under Corporate Action.