How To Fix TPM_THX1575 - Expiry date is not the same for both options in zero cost collar.

SAP Error Message - Details

• Message type: E = Error

• Message class: TPM_THX1 - Treasury: Message Class for P-HA

• Message number: 575

• Message text: Expiry date is not the same for both options in zero cost collar.

What causes this issue?

Expiry date &V2& of option (&V1&) differs from expiry date &V4& of the
other option contained in the zero cost collar (&V3&).

System Response

It's not possible to save the changes.

How to fix this error?

Please check and correct the expiry date of the options in the zero cost
collar.

Procedure for System Administrators

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message TPM_THX1575 - Expiry date is not the same for both options in zero cost collar. ?

  The SAP error message TPM_THX1575 indicates that there is a mismatch in the expiry dates of the options involved in a zero-cost collar transaction. A zero-cost collar is a financial strategy that involves the simultaneous purchase of a put option and the sale of a call option, typically to hedge against price fluctuations while limiting potential losses.
  Cause:
  The error arises when the expiry dates of the put and call options do not match. In a zero-cost collar, both options should have the same expiry date to ensure that the hedging strategy is effective and that the options can be exercised or settled simultaneously.
  Solution:
  To resolve this error, you should take the following steps:
  
  
  Check Option Details: Review the details of both the put and call options in the transaction. Ensure that the expiry dates for both options are identical.
  
  
  Modify Expiry Dates: If you find that the expiry dates are different, you will need to modify one of the options to match the other. This may involve changing the expiry date of either the put or the call option.
  
  
  Re-enter Transaction: If necessary, you may need to re-enter the transaction after making the adjustments to ensure that both options are correctly aligned.
  
  
  Consult Documentation: Refer to your organization's internal documentation or SAP help resources for specific instructions on how to modify option details within the system.
  
  
  Test the Changes: After making the necessary adjustments, test the transaction again to ensure that the error message no longer appears.
  
  
  Related Information:
  
  SAP Transaction Codes: Familiarize yourself with relevant transaction codes in SAP that pertain to treasury management and options trading, such as TPM1 for creating transactions or TPM2 for changing them.
  SAP Notes: Check for any SAP Notes related to this error message for additional guidance or patches that may address known issues.
  Training and Support: If you continue to experience issues, consider reaching out to your SAP support team or consulting with a financial expert familiar with SAP treasury management.
  
  By ensuring that the expiry dates of both options in the zero-cost collar are the same, you should be able to resolve the TPM_THX1575 error and proceed with your transaction.