11 Rate Conversion

This chapter defines Interest Rate formats used within Oracle Asset Liability Management (ALM) and Funds Transfer Pricing, describes which format is used in a particular process and what type or types of conversion are used; and outlines the algorithms used for such conversions.

Interest Rates come in a variety of formats. Within Oracle Asset Liability Management (ALM) and Funds Transfer Pricing (FTP), interest rates are used for multiple purposes, with each rate requiring a specific format. The system must apply conversion formulas to translate the interest rates from their starting format into the format proper for its use in any given process.