1. User Guide
  2. Business Rules Administration
  3. Application Specific Rules
  4. Transfer Pricing Standard Processes
  5. Process Definition Screens
  6. Ledger Migration Process
  7. Understand the Ledger Migration
  8. Transfer Rate and Add-On Rate Calculation

5.3.9.3.5.2.1 Transfer Rate and Add-On Rate Calculation

The Oracle Funds Transfer Pricing Engine calculates and writes Balance-Weighted Average Rates to the Management Ledger table, using Current Book Balance, Average Book Balance, or a User-Defined Balance from each instrument record to perform the weighting process.

The financial elements that the engine uses to write the weighted rates to the Management Ledger are as follows:

  • 169 - All in TP Rate
  • 170 Average Transfer Rate
  • 172 Average Rem Term Transfer Rate
  • 174 Average Liquidity Add-On Rate
  • 176 Average Pricing Incentive Rate
  • 177 Average Other Add-On Rate
  • 175 - Average Basis Risk Cost Rate