How To Fix VAL042 - Forward exchange transaction with unsuitable position mgmt proc. &1

VAL042 - Overview

• Message type: E = Error

• Message class: VAL - Treasury: Messages for General Valuation

• Message number: 042

• Message text: Forward exchange transaction with unsuitable position mgmt proc. &1

What causes this issue?

You wish to value a foreign exchange transaction. The position in the
transaction has a position management procedure in which the position
management category 'foreign exchange transactions' is not defined.
This can lead to undesired results.

System Response

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

How to fix this error?

Change the position management category in position management
procedure &V1&.

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message VAL042 - Forward exchange transaction with unsuitable position mgmt proc. &1 ?

  The SAP error message VAL042, which states "Forward exchange transaction with unsuitable position management procedure &1," typically occurs in the context of foreign exchange (FX) transactions when there is a mismatch between the transaction type and the position management procedure defined in the system.
  
  Cause:
  
  Position Management Procedure: The error indicates that the position management procedure assigned to the forward exchange transaction is not suitable for the type of transaction being processed. This could be due to incorrect configuration or assignment of the position management procedure in the system.
  Transaction Type: The transaction type being used may not be compatible with the position management procedure defined in the system.
  
  Configuration Issues: There may be issues in the configuration of the financial instruments or the settings in the SAP system related to foreign exchange transactions.
  
  
  Solution:
  
  Check Position Management Procedure: Review the position management procedure assigned to the forward exchange transaction. Ensure that it is appropriate for