7.1 Introduction

The reporting bank may be a part of a financial group that has multiple legal entities such as parent or child entities (subsidiaries) under its name. User can select the entity for which processing is to happen, and whether a ‘Solo’ or ‘Consolidation’ execution is to be done. Select these options using the Run Execution screen, but if it is executed using RRF execution then these options have to setup using the rule ‘Capital Consolidation Level Selection’ in the process 'CAPITAL_CONSOLIDATION’.

CAPITAL_CONSOLIDATION is the first process to be added in all the runs defined through Run Rule Framework except the ones for staging data population. Process Modelling Framework selects this process by default.

Run Parameters Assignment:

BASEL Accord mentions about different approaches for calculating RWA. Process Modelling Framework in the product allows the reporting bank to define and execute a Run by selecting a combination of different BASEL II approaches for RWA computation.

Run parameter Assignment is also part of Capital Consolidation process. The rule ‘Run Definition User Defined Run Param Assignment’ is used to assign the run parameters in case of a run executed through Run Rule Framework. But if the execution is through Process Modelling Framework, the parameters are populated based on the process defined.