Introduction to Trade Creation

A trade is the most critical aspect of a securities transaction. It is a record of the executed quantity and value and it determines the holdings and cost of position. Trades are recorded in the SEC.TRADE application of the Securities (SC) module. It can be created out of an executed order or can be directly input. In Temenos Transact, the execution details are updated in a separate application called SC.EXE.SEC.ORDERS and once the record is authorized, a record in SEC.TRADE is created. This bifurcation of execution and trade allows the bank to update or modify commissions, settlement instructions and also to control the flow of the settlement messages.