26 Discount Methods
This module describes the procedure for working with and managing Discount Method rules.
Discount Method rules allow users to define the method for discounting projected cash flows for market value and duration calculation purposes. For each combination of product and currency, you can choose one of the following discount methods:
- Spot Input
- Spot Interest Rate Code
- Forecast Remaining Term
- Forecast Original Term
- Effective Interest Rate
The methodologies contained in the Discount Method rules are referenced by the Static Deterministic and Dynamic Deterministic ALM Processes.
The procedure for working with and managing Discount Method rules is similar to that of other Asset Liability Management business rules.
As part of creating and editing Discount Method rules, you assign Discounting methodologies to applicable products.
Note:
Oracle Asset Liability Management provides you with the option to copy, in total or selectively, the product assumptions contained within ALM business rules from one currency to another currency or a set of currencies or from one product to another product or a set of products
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