1. User Guide
  2. Business Rules Administration
  3. Add-on Rate Rules
  4. Create Add-on Rate Rule

3.14.3 Create Add-on Rate Rule

You create an Add-on Rate Rule to define Add-on Rate Methodologies for your products.

To create the Add-on Rate Rule, follow these steps:
  1. From the LHS menu, select Assumption Specification, and then select Add-on Rate Rule.

    Figure 3-57 Add-on Rate Rule - Definition Mode


    The Adjustment Rule (Definition Mode) screen allows you to create a new adjustment rule.

  2. Select the Add-on Rate Type from the Add-on Rate Type Selection Section.

    Figure 3-58 Add-on Rate Type Selection


    This screen allows you to select the Adjustment Type from the Adjustment Type Selection section.

  3. Conditional Assumptions - The Conditional Assumption feature allows you to segregate your product portfolio based on common characteristics, such as Term to Maturity, Origination Date, and Repricing Frequency, and assign specific Add-on Rate Methodologies to each of the groupings.

    Figure 3-59 Conditional Assumption


    Conditional Assumption

    Note:

    If an instrument record does not meet any of the conditions, then the rule logic reverts to the Standard Assumption that is directly assigned to the Product/Currency combination.