Configuring LUSID to enable settlement strategies

To override the contractual settlement date for a particular transaction and settle some or all of its units explicitly, you must pre-configure both:

The transaction type to which the transaction belongs, for example Buy, and
The parent portfolio, for example one with a scope of Equities and code of UK-Growth. More information.

Note that such a change impacts all transactions belonging to the nominated transaction type in that parent portfolio.

Configuring transaction types

By default, the settlement mode is Internal, to obey the contractual settlement date.

You can enable independent settlement modes for stock holdings, cash holdings, and deferred cash (reclaimed tax) holdings, as determined by the following movement types:

Holding category	Movement types
Stock	`StockMovement`
Cash	`CashAccrual` `CashCommitment` `CashReceivable`
Deferred cash	`TaxReclaim`

Holding category

Movement types

Stock

StockMovement

Cash

CashAccrual

CashCommitment

CashReceivable

Deferred cash

TaxReclaim

Set the settlement mode to External to override the default behaviour. To do this:

LUSID web app

LUSID API

Call the SetTransactionType API to set the settlementMode fields of applicable movement types to External:

curl -X PUT 'https://<your-domain>.lusid.com/api/api/transactionconfiguration/types/default/Buy?scope=default'
  -H 'Content-Type: application/json-patch+json'
  -H 'Authorization: Bearer <your-API-access-token>'
  -d '{
  "aliases": [
    {
      "type": "Buy",
      "description": "Purchase",
      "transactionClass": "Basic",
      "transactionRoles": "LongLonger",
      "isDefault": false
    }
  ],
  "movements": [
    {
      "movementTypes": "StockMovement",
      "side": "Side1",
      "direction": 1,
      "settlementMode": "External"
    },
    {
      "movementTypes": "CashCommitment",
      "side": "Side2",
      "direction": -1,
      "settlementMode": "External"
    }
  ]
}'

Navigate to the System Settings > Transaction Types dashboard, locate the transaction type to configure, and change the Settlement Mode of applicable movement types to External, for example:

Configuring portfolios

You can enable different settlement methods for stock holdings, cash holdings, and deferred cash (reclaimed tax) holdings:

Choose Automatic to settle units on the contractual settlement date, as per the default LUSID behaviour, but enable the option to cancel settlement or settle by instruction on an ad-hoc basis.
Choose Instructed to negate the contractual settlement date. You must explicitly load one or more settlement instructions.

LUSID web app

LUSID API

Call the PatchPortfolioDetails API to configure the settlementConfiguration object of an existing portfolio, for example:

curl -X POST "https://<your-domain>.lusid.com/api/api/transactionportfolios/Equities/UK-Growth/details"
  -H "Authorization: Bearer <your-API-access-token>"
  -H "Content-Type: application/json-patch+json"
  -d '[
  {
    "path": "/settlementConfiguration",
    "op": "add",
    "value": {
      "stockSettlement": {"method": "Automatic"},
      "cashSettlement": {"method": "Instructed"},
      "deferredCashReceipt": {"method": "Instructed"}
    },
  }
]'

Navigate to the Data Management > Portfolios dashboard, locate the portfolio to configure and, on the Details screen, choose an appropriate Stock settlement method, Cash settlement method and Deferred cash receipt method, for example: