FIXED INCOME

  • Accrued interest for default transactions is calculated using the long-held calculation method, i.e. the normal scenario calculation, as follows:

    The conditions are as follows:
    • If the calculation method chosen is ACT/ACT and its product is "SR", then:
    - Accrued Interest = Round [(HP/Next Coupon- Last Coupon)) * Coupon * 1000000) * (Volume/1000000)]
    - HP = HP (normal/previous)
     
    • If the calculation method chosen is ACT/ACT and its product is "ORI", then:
    - Accrued Interest = Round [(HP/(Next Coupon- Last Coupon)) * Coupon * 1000000) * (Volume/1000000)]
    - HP = HP (normal/previous)
     
    • If calculation method are ACT/365, ACT/ACT and ACT/366, then:
    - Accrued Interest = Round [(HP/(365)) * Coupon) * (Volume)]
    - HP = HP (normal/previous)
     
    • If the calculation method is 30/360, then:
    - Accrued Interest = (HP * Coupon)) * Volume
    - HP = ((Year * 360) + (Month * 30) + Day)/360
     
     Year = interval between year of purchase and year of settlement
     Month = interval between month of purchase and month of settlement
     Day = interval between date of purchase and date of settlement

     

     

  • The first day of NPF default (which is calculated on S+1, and settled on S+2):
    • GFU = NPF + 0.0025 * NPF
    The following days until the last day specified by the parameter (i.e. calculated on S+Hg, settled on S+Hg+1):
    • GFU = GFU + 0.0025 * GFU
  • Confirmation/affirmation includes the following information:
    a. Allocation of transactions performed
    b. Name of party who performs the transaction
    c. Settlement value and instrument account
    d. Clearing type
    e. Tax information
    f. Designated settlement agent (only for confirmation request)
    The data are entered/selected by CM-EBU manually through the E-BOCS system.
  • KPEI’s fee is 30% of the transaction fee charged by IDX on the CM-EBU who performs the transaction. The following is the fee schedule according to the type of bond market on the Exchange:

     

  • KPEI does not provide facilities and rules related to the implementation of rights and/or obligations contained in bond ownership. Therefore, investors and CM-EBU can directly coordinate with KSEI as the entity that manages CM-EBU accounts.