1. Asset Liability Management Cloud User Guide
  2. Business Rules Administration
  3. Application Specific Rules
  4. Forecasting Rules
  5. Rate Dependency Patterns

5.3.2.5 Rate Dependency Patterns

Rate Dependency Patterns allow you to set up relationships between the level of Interest Rates, Economic Indicators, or Rate Spreads and ALM forecast assumption rules. After defining Rate Dependency Patterns, you can attach these patterns to ALM forecast business rules. ALM assumption rules with Rate Dependency Patterns, work together with your Forecast Rate scenarios to determine assumptions applicable to each specific scenario within your simulation. The following rule types support Rate Dependent assumptions:

  • Forecast Balances
  • Maturity Mix
  • Pricing Margins
  • Transaction Strategies

When Rate Dependency Patterns are attached to an ALM business rule, you will be able to input multiple versions of each assumption type within a single assumption rule. The ALM engine dynamically retrieves the assumptions which apply to the scenario being processed.

Rate Dependency Pattern Summary Page

This page is the gateway to all Rate Dependency Pattern rules and related functionality. You can navigate to other pages relating to Rate Dependency Pattern rules from this point.

Figure 5-184 Rate Dependency Pattern Summary


Rate Dependency Pattern Summary

Search Rate Dependency Pattern Rule

Prerequisites: Predefined Rate Dependency Pattern rule

To search for a Rate Dependency Pattern rule:

Click Search after entering the search criteria. The search results are displayed in a table containing all the Rate Dependency Pattern Rules that meet the search criteria.

Or

An alternative method to search a Rate Dependency Pattern rule is through the Field Search option. This is an inline wildcard UI search that allows you to enter a search value (such as code, name, etc.) partially or fully. Rows that contain the string you are searching for are fetched and displayed in the Rate Dependency Pattern Summary. You can enter the Code, Name, Pattern Type, and Folder of the Rate Dependency Pattern rule and click Search.

The Rate Dependency Pattern Summary page displays the following information:

Add: Click the Add icon on the page header to build a new Rate Dependency Pattern rule.

Multiple Delete: This enables you to select and delete one or multiple rules in the table simultaneously.

  • Name:The Rate Dependency Pattern Rule's short name.
  • Rate Dependency Type: Type of the Rate Dependency Pattern rule.
  • Folder: The Folder where the Rate Dependency Pattern rule is saved.
  • Last Modified By: The user who last modified the Rate Dependency Pattern rule.
  • Last Modified Date: The Date and Time when the Rate Dependency Pattern rule was last modified.
  • Access Type: The access type of the rule. It can be Read-Only or Read/Write.
  • Action: Click this icon to view a list of actions that you can perform on the Rate Dependency Pattern rule.
    • View/Edit: Based on the user privilege assigned, you can either only view or edit existing Rate Dependency Patterns. To edit a rule, you must have Read/Write privilege.
    • Save As: You can reuse a Rate Dependency Pattern by saving it under a new name thus saving time and effort in entering data multiple times; it also leads to reduced data entry errors.
    • Delete: You can delete Rate Dependency Pattern rules that you no longer require. Note that only Rate Dependency Pattern owners and those with Read/Write privileges can delete Rate Dependency Patterns. A Rate Dependency Pattern rule that has a dependency cannot be deleted. A Rate Dependency Pattern cannot be retrieved after deletion.
    • Dependency Check: You can perform a dependency check to know where a particular Rate Dependency Pattern has been used. Before deleting a rule, it is always a good practice to do a dependency check to ensure you are not deleting Rate Dependency Pattern Rules that have dependencies. A report of all rules that utilize the selected Rate Dependency Pattern Rule is generated.

Also See: