5.1 Interest Rates

The quality and availability of interest rate information vary throughout the world. In many markets, gathering comprehensive rate information is a challenge because of insufficient security types, inconsistent quoting conventions, and lack of liquidity. The Interest Rates module in OFSAA Rate Management allows you to define and manage complex yield curve definitions using multiple rate formats and other rate attributes to give you data storage capabilities appropriate to your market. The Interest Rates module also supports the creation and maintenance of historical rate data for each yield curve you define.

Historical interest rate data from OFSAA Rate Management is utilized in OFSAA Transfer Pricing to generate transfer rates and option costs. Historical interest rate data is also utilized in OFSAA Asset Liability Management and OFSAA Balance Sheet Planning to generate forecasted interest rate scenarios.

To view the Interest Rate Code Summary page, navigate to Common Object Maintenance and select Rate Management, and then select Interest Rates.

Figure 5-1 Interest Rate Summary Page