1. Asset Liability Management User Guide
  2. Oracle Asset Liability Management Process
  3. (Mandatory) Deciding on Historical Rate Information and Managing by Creating Interest Rate Codes

8.7 (Mandatory) Deciding on Historical Rate Information and Managing by Creating Interest Rate Codes

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.

OFSAA Rate Management facilitates the process of inputting and viewing interest rates and yields by supporting multiple rate formats and other rate attributes to give you data storage capabilities appropriate to your market. For example, you can store the following data attributes for each Interest Curve:

  • Rate format (zero-coupon oryield-to-maturity)
  • Accrualbasis
  • Compoundbasis

Term structure parameters provide insight into the stability and direction of future rates. Rate Management enables you to define and store—up to daily—term structure parameters for any and all currently supported term structure models.

When you add an Interest Rate Code, the Add or Edit page appears with four tabbed pages. The pages display interest rate code characteristics and enable you to define, input, modify, and view data. The tabs are Attributes, Terms, Rates, and Parameters. You can only define interest rates where you have an active currency. For more information, see the Interest Rates Details section.

For more information on loading interest rate data using the staging area and the related data loader utility, see the Oracle Financial Services Analytical Applications Data Model Utilities User Guide.