5.5 Portfolios Definition

This topic describes the usage and maintenance of Portfolios Maintenance screen.

After you have created ET Portfolio Products, you can proceed to set up an ET portfolio. To recall, in Oracle Banking Treasury Management you can define ET portfolios for your:

• Bank
• Bank's Customers

In addition, you can maintain any number of portfolios for each branch or customer.

The portfolios that you set up should necessarily be associated with a portfolio product. All portfolios associated with a portfolio product will inherit the attributes defined for it. You can change certain attributes that are defaulted to suit the portfolio you are defining.

While setting up a portfolio you can indicate the following details:

• Portfolio product that is to be associated with the portfolio.
• Notional revaluation method and frequency. (in case of a bank portfolio)
• Costing method that is to be used - LIFO, FIFO, deal matching, WAC (in case of a bank portfolio).
• Margin Scheme, which is to be linked to the particular portfolio (in case of a customer portfolio).
• Brokers and Broker Accounts which are to be associated with the portfolio.

You can further specify restrictions on the instruments and instrument products that the portfolio can trade in. The other preferences specified for the portfolio product are defaulted to the portfolio. These preferences cannot be changed. However, you can set-up the Role to Head mappings for the first three hierarchical levels (Portfolio + Instrument ID, Portfolio + Instrument Product, Portfolio ID) at the portfolio level.

You can enter the details of a portfolio through the Portfolio Definition Maintenance screen.