Upcoming coupon and dividend payments
Introduction
Luna Wealth Platform helps to track upcoming payments including coupon and dividend incomes. It helps to timely prevent missing payments from the custody and eliminate the problem.
How does system know that income must be paid?
Each Assets contains Coupon or Dividend Calendar. Every day System is checking for the assets with payment date equals current date. When the appropriate Asset is found and it is on the Client Position System generates income transaction in order status.
Order status means that it is system generated transaction which is not received yet from the custody but should be delivered on the next date of the Trade or on the Value Date of the Payment.
How to track upcoming incomes?
To track incomes which have to be paid in the nearest time please use existing System View “Missing Incomes” or create the new one.
“Missing Incomes” view contains only Income transaction in Order status. From the table you can track:
Asset - “Instrument” field
Amount of the Income → “Net Amount PF” Ccy field
Currency of the amount to be paid → “PF Ccy” field
Client Bank Account where asset is held → “Bank Account” field
How to manage incomes?
Track unpaid incomes
Back Office manager should check is income received from the Custody on the Value date. If Value date has come but Income is not received yet Manager should contact with Custody to understand the current status of the payment. If the Value date of the income is updated it should also be reflected in the System → Manager can open transaction and update value date.
Track that data is matched with custody info
When Income is received from the custody it should be automatically matched with the income in order state. During matching value date will be updated to actual payment date when money was received.
If transactions were not matched it could be:
incorrect data in the transaction
technical error
To match incomes received from the Custody with Order transactions System checks:
bank accounts are the same
asset is the same (by ISIN)
transaction date of the order income is “before or at the date” of the Custody income transaction date
Gross Amount of the incomes are the same
In case of incorrect transaction data please unsure that Custody transaction has correct details and match transactions manually using matching functionality.
If incomes are the same but transactions are not matched, please also manually match the transactions and inform technical support about the issue.
If income was received from the Custody but order income is missing approve transaction using “Approve” function without matching and inform technical support about the issue.
How do order incomes influence on calculations?
For cash positions → no way
For asset position → influence on asset performance