How To Fix THM_EXPOSURE057 - Hedge accounting is not active in company code &1 in valuation area &2

SAP Error Message - Details

• Message type: E = Error

• Message class: THM_EXPOSURE - E-Hedge Accounting: Exposure

• Message number: 057

• Message text: Hedge accounting is not active in company code &1 in valuation area &2

Self-Explanatory Message

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Smart SAP Assistant

• What is the cause and solution for SAP error message THM_EXPOSURE057 - Hedge accounting is not active in company code &1 in valuation area &2 ?

  The SAP error message THM_EXPOSURE057 indicates that hedge accounting is not active for a specific company code and valuation area. This error typically arises when you attempt to perform operations related to hedge accounting, such as valuations or postings, in a company code where hedge accounting has not been configured or activated.
  Cause:
  
  Hedge Accounting Not Activated: The primary cause of this error is that hedge accounting has not been activated for the specified company code and valuation area in the SAP system.
  Configuration Issues: There may be configuration issues in the settings related to hedge accounting in the Financial Risk Management (FRM) module or the Treasury Management (TM) module.
  Incorrect Valuation Area: The valuation area specified in the transaction may not be correctly set up for hedge accounting.
  
  Solution:
  To resolve this error, you need to ensure that hedge accounting is properly configured and activated for the relevant company code and valuation area. Here are the steps to do this:
  
  
  Activate Hedge Accounting:
  
  Go to the SAP Customizing Implementation Guide (IMG).
  Navigate to Financial Supply Chain Management > Treasury and Risk Management > Hedge Management > Basic Settings > Activate Hedge Accounting.
  Ensure that hedge accounting is activated for the relevant company code and valuation area.
  
  
  
  Check Configuration:
  
  Verify the configuration settings for hedge accounting in the system.
  Ensure that all necessary settings related to hedge accounting, such as risk categories, hedging relationships, and valuation methods, are correctly defined.
  
  
  
  Review Valuation Area:
  
  Check if the valuation area specified in the transaction is correctly set up for hedge accounting.
  Ensure that the valuation area is linked to the correct company code and that hedge accounting is activated for it.
  
  
  
  Consult Documentation:
  
  Review SAP documentation or help files related to hedge accounting for any additional configuration steps that may be required.
  
  
  
  Testing:
  
  After making the necessary changes, perform a test transaction to ensure that the error no longer occurs.
  
  
  
  Related Information:
  
  Transaction Codes: You may need to use transaction codes such as SPRO (to access the IMG) or OBY6 (to check company code settings) during the configuration process.
  SAP Notes: Check for any relevant SAP Notes that may provide additional guidance or fixes related to hedge accounting issues.
  User Roles: Ensure that you have the necessary authorizations to make changes to the configuration settings in the SAP system.
  
  If the issue persists after following these steps, it may be beneficial to consult with your SAP support team or a consultant specializing in Treasury Management and Hedge Accounting.