Investment Type and Rate Maintenance
Overview (IL203)
Investment Type/Rate Maintenance enables you to establish new investment vehicles as well as modify or deactivate existing ones. It’s where you will enter or change critical details of each of your investment offerings such as eligible rates of return, investment category, effective period, and term length. This is the information that makes an investment unique, and it applies whenever your client elects this type of investment.
From the DDI Connect main menu, do the following:
- Double-click Financial Services
- Double-click Investments
- Double-click Setup
- Double-click Type and Rate Maintenance. You will see this screen:
NOTE: What you see on this screen depends on the investment types already established within your system.
Adding a new Type/Rate
To add a new investment type, click the Add button on the toolbar. The fields are now editable:
| Field | Description |
|---|---|
| Inv Type | This field is a 4 digit numeric identifier for the investment type. It MUST be a unique number |
| Term Category | Select the investment category by clicking the list icon and choosing from a list of available categories in the system |
| Description | The description will automatically default from the term category. However, you can manually override and type in a description |
| G.L. Number | Type in the GL number for this investment type, or click the list to select from a list of GL numbers in the system |
| Term Months | This field can only be edited if the category selected allows for the establishment of term months. If it does, enter the number of months that applies to this investment type |
| Current offering | Click this box if this is a current offering |
| Note type | Click the list icon to select from a list of available investment tiered rate instruments |
| Start date | Enter the date that the investment is first eligible for sale |
| End date | The system will default the end date to 12/31/9999. If, however, this is a limited time investment type, you can enter an end date here |
| High rate | Enter the highest interest rate that this investment type is eligible to earn |
| Low rate | Enter the lowest interest rate that this investment type will earn |
| Demand rate | Current interest rate for this investment type, if a demand note. This is especially important in calculating penalty amounts for early redemption |
| Penalty rate | Either an actual penalty rate, or a rate used in conjunction with the demand rate to calculate the early-redemption penalty |
| Extendable | Whether or not this investment type will automatically extend (renew) at maturity. If selected, this investment type automatically extends to the investment type in the Extension Inv Type field below |
| SEC Limited | Indicates whether organizations are limited by state Securities and Exchange Commissions in terms of the amounts of investments than can be sold to state residents. The State Sales Maintenance screen enables you to set up amount limits (i.e., $5 million in notes to Indiana residents, $2 million in 1-year notes to Indiana residents, etc.). The Investment Purchase screen (using purchase state, purchase date, note type) then checks to see that the proposed deposit amount does not exceed state limits. Select if this type is SEC Limited |
| Extension Inv Type | If the Extendable field above is marked “yes”, at maturity the investment type automatically extends to the investment type identified in this field |
When you have finished adding all of the information, click Save to retain your changes.
St Reg button
If you click the St Reg button on the toolbar, the State Sales Maintenance screen will launch. When you have finished viewing the state registration, click Exit to return to the Type and Rate Maintenance screen.
Auto button
If you click the Auto button while a type is selected, you will see this popup:
This process allows you to automatically perform state sales maintenance on all states for an investment type. To add the investment type to all states, click the All button in the lower left corner. This will highlight all of the registrations:
Click OK. When the process finishes, you will see this message:
Click OK. You will be returned to the Type and Rate Maintenance screen.
Tier Info
The Tier Info button is only enabled if an investment type has tiered interest rates. If you click the button, the Investment Tiered Rate Maintenance screen will launch. When you have finished viewing/modifying the information, click Exit to return to the Type and Rate Maintenance screen.
