17.2.3.5 Define Inflation Adjustment Attributes Tab

When the Inflation-Indexed Instrument check box is selected, the Define Inflation Adjustment Attributes tab is enabled.

For more information on Inflation-Indexed Instrument calculation, see Oracle Financial Services Cash Flow Engine Reference Guide.

Figure 17-8 Inflation Adjustment Attributes Tab


This screen allows you to add the Inflation Adjustment Attributes to the Product Profile.

Note:

The Define Inflation Adjustment Attributes tab will be enabled if the Adjustment type is selected as Conventional Adjust, Conventional Fixed, Level principal, or Non-Amortizing.

Figure 17-9 Define Inflation Adjustment Attributes Tab


This screen allows you to add the Inflation Adjustment Attributes to the Product Profile.

Table 17-10 Tabs, Fields, and Behavior of Inflation Adjustment Attributes

Tab Field Behavior
Index Adjustment Attributes Index Name Lists all Economic Indicator defined through the user interface.
Index Adjustment Attributes Capital Protection Category

Determines Capital protection to be provided to Inflation-indexed instruments. The choices are:

  • No Floor: No Floor does not provide any downside protection.
  • The floor of 1: Floor of 1 protects downside movement.
  • Max during Life: Max during life gives maximum advantage using maximum Index factor for calculation.
Index Adjustment Attributes Index Adjustment Type

Determines the type of Index adjustment. The choices are following:

  • Principal and Interest
  • Principal Only
  • Interest Only

Note:

For more information on cash flow calculations associated with Inflation-indexed instruments, see Oracle Financial Services Cash Flow Engine Reference Guide.