J Glossary

This glossary lists the popular terminologies from the current document.

Table J-1 Glossary of Terms

Term	Description
Account table	Stores a detailed set of transaction-level data attributes pertaining to instruments. For example, origination date, outstanding balance, contracted rate, and maturity date. An account table is also known as an instrument table.
Aggregation	To summarize detailed instruments to a table in the database which can be used for faster processing in PFT.
Aggregate Instrument Table	To avoid the writing of multiple rules that was one rule per table, where the rule logic is essentially identical except for the specification of the Instrument Table.
Allocation	Oracle Insurance Allocation Manager for Enterprise Profitability engine allocates between two cost centers using the allocation rule.
Allocation Model	An Allocation Model consists of a list of individual allocation rules that can be executed as a single unit.
Allocation Execution History	This shows the list of executed allocation rules.
Answers	Answers is the OBIEE (Oracle Business Intelligence Enterprise Edition), an ad-hoc reporting tool.
As of Date	The date at which the data is current.
Assignment date	Indicates the relevant date for which the associated yield curve has to be referenced. This parameter is used for defining the Spread from Interest Rate Code and Redemption Curve transfer pricing methods. You can choose the origination date, last repricing date, or the last day of the associated calendar period as the assignment date.
Attributed Dimension	A dimension whose members can have other properties or qualifiers known as dimension attributes.
Basis Points	1/100th of a percent (abbreviated as “bps”)
Bottom-Up Allocation Methods	Bottom-up allocation methods are used to construct discrete detailed expenses based on volumes and unit cost. This method is used both in the Management Ledger level profitability and Account Level profitability.
Calculation Mode	Any of the two ways, standard or remaining term, of calculating transfer rates and options costs supported by Oracle Funds Transfer Pricing.
Charge/Credit Accrual Basis	The basis on which charge/credit accrues for a business unit and the offsetting treasury unit, similar to the accrual basis used in the calculation of interest.
Circular Allocation Models	The Circular Allocation Model is similar to a Standard Allocation Model but consists of two lists of allocation rules: a list of "circular" rules and a list of "sweep" rules.
Constant Allocation Type	A Constant Allocation rule creates a simple balanced transaction consisting of one debit and one credit. You may optionally specify either one debit or one credit (at a minimum, you must supply at least one debit or one credit).
Cost Centers	Cost Centers are subdivided into Overhead Centers, Indirect Support Centers, and Direct Support Centers.
Credit Risk	The risk that a loan holder will be unable to repay any portion of the loan.
Customer Account Level Profitability	It is a customer counterparty position level of Oracle Insurance Allocation Manager for Enterprise Profitability.
Data Filter Rule	Data Filters are used to define which data should go into a processing run.
Data set	A dimension is used for segregating data into different sets according to its use or its source, for example, to separate actuals data, budget data, and encumbrances data. Other uses include separating test data from production data and creating separate data sets for what-if analysis.
Data Input Helper	A pop-up dialogue facilitates the definition of a series of input values (dates or numbers) by allowing several methods for defining structured patterns in the data.
DDA	Demand Deposit Account. An example of a DDA is a checking account.
De-annualize	To compute the monthly equivalent rate of an annual rate.
Dimension	A structure that can be used to categorize business data. A dimension contains members. A dimension can be hierarchical in that you can organize the members into one or more hierarchies, or nonhierarchical.
Dimension Attribute	A property or qualifier that further describes a dimension member. An attribute can be anything such as a date, a number, or a character string. For example, the Geography dimension can have an attribute Population that designates how many people live in that area. Each member of the Geography dimension, therefore, has an associated population.
Dimension Based Rule	A business rule whose definition varies depending on the dimensional values of the data to which it is applied.
Dimension Identifier	A numeric string that uniquely identifies each member of a dimension. Dimension identifiers are non-translatable, as they are the same regardless of the language context. Each dimension has its own unique set of columns in the Analytical Applications Infrastructure staging tables that serve as the dimension identifier for that dimension.
Dimension Member	The values are used to populate dimension columns in the account, transaction, or statistical tables. Such values represent the individual organization units, distribution channels, products, and so on of which each dimension is comprised. In a hierarchy, both lowest level and node level values are considered to be dimension members.
Driver	A variable that influences the prepayment behavior of an instrument. You can build a custom prepayment model using up to three prepayment drivers. Each driver maps to an attribute of the underlying transaction (age or term, or rate) so the cash flow engine can apply a different prepayment rate based on the specific characteristics of the record.
Duration	Duration is the rate of market value change with respect to discount rate changes. It is a measure of market value sensitivity: the lower the value, the less sensitive the market value to changes in interest rates.
Dynamic Driver Allocation Type	Dynamic Driver allocation rules aggregate or distribute balances using dynamic data (business resident driver data) such as headcount, square footage, or instrument-level balances.
Entered Currency	The currency in which business transactions take place. Entered currency might be different from functional Currency. See also: functional currency.
Embedded Rate Risk Profit	The portion of funding center rate risk result attributed to prior rate bets.
Fact Table	A table that contains data uniquely differentiated by dimension columns.
Field Allocation Type	A Field type allocation is typically used to multiply two columns within a single row in an instrument table update Allocation rule.
Filter	A business object that filters the source data that is used as input to a process.
Funding Center	Area in a financial institution that receives the transfer pricing charge and credit for funds.
Functional Currency	The currency in which an organization keeps its books of accounts. Functional currency is associated with a particular ledger.
Functional Reporting Lines	In building Oracle Insurance Allocation Manager for Enterprise Profitability view, allocations are constructed to align data into functional reporting lines.
Funds Transfer Pricing	A method for valuing all sources and uses of funds for a balance sheet.
General Ledger	The main data source that defines an institution's financial reality. General Ledger reflects all accounting entries.
Grid	A logical grouping of cells often surrounded by scroll bars.
Hierarchy	A structure of dimension members organized by parent-child relationships.
Historical Term	The period preceding the assignment date over which the average of daily interest rates from a yield curve is taken. This parameter is used in the Moving Averages transfer pricing method.
Instrument	Synonymous with an account record or an individual contract.
Instrument Table	A type of table contained in the OFSAA database is used to store account-level information.
Instrument Records	Rows in the OFSAA database that carry transaction account level information (Example: deposit account by deposit account).
Interest Rate Code	User-defined code to reference a yield curve or single rate index for historical analysis, transfer pricing, and interest rate forecasting purposes.
Leaf Allocation Type	Leaf Allocation Type is used to perform an operation between two sets of rows that differ in a single dimension.
Leaf Fields	OFSAA database fields used to define hierarchical segmentations of data. They also draw a relationship between the instrument data and the General Ledger data in Ledger/Stat. Also known as key dimensions.
Leaf Values	Specific numeric values that make up the Leaf Fields. These are dimension members that can never be used as parent nodes on a hierarchy. The fact data should always be populated with dimension member - leaf values only.
Ledger Migration	The process for generating charges or credits, for funds provided or used, for migration to the Management Ledger table based on the transfer rates, adjustments or option costs, obtained from transfer pricing and option cost calculations or propagation processing.
Ledger Stat	Table in the OFSAA database that stores all General Ledger as well as statistical information for current and historical periods.
Level	A property of hierarchical dimensions that designates a category of like members. For example, in the Geography dimension there might be a level named City and a level named State. Geography members such as Tulsa and Dallas belong in the City level, while Geography members such as Texas and Oklahoma belongs in the State level. The designation of level is the same across all hierarchies within a dimension. In other words, Texas is always a state in all Geography hierarchies.
Log in	To access the programs and database of any OFSAA application by providing a valid user name and password.
Long Run Rate	One of the user-input parameters of the Vasicek (discrete-time) term structure model; represents the equilibrium value of the one-month annually compounded rate.
Lookup Driver Table Allocation Type	Lookup Driver Table allocation rules support multi-factor allocations at the Instrument-level.
Management Ledger Table	The Management Ledger table is the most central fact table in the OFS Analytical Applications Infrastructure. It contains ledger and some statistical data and highly aggregated information, such as cash and other assets, and equity. This table supports Oracle Financial Services analytical applications.
Monthly Rate	Yield on a loan contracted at the beginning of a month for a period of one month assuming a continuous compounding basis; the monthly rate is a function of time and scenario; the Rate Generator also computes rates for a different term than a month.
Multidimensional Profitability	Multidimensional Profitability supports the profitability analytics by time, profit center, product, and functional reporting lines. Each dimension is completely independent, that is, same reporting lines can be generated for all the Profit Centers, products, and each month.
Node	A dimension value located anywhere in a hierarchy.
Node Level Assumption	An assumption assigned to a dimension value at a level higher than a leaf level. A node level assumption is typically associated with a business rule that uses a hierarchical dimension.
Oracle Asset Liability Management	ALM is an Asset/Liability management simulation tool that generates daily cash flows for each individual transaction record and allows users to model their balance sheet using both deterministic and stochastic methods.
Oracle Business Intelligence Enterprise Edition	OBIEE is Oracle's market leading business intelligence product. OFSAA applications are fully integrated with OBIEE through the OFSAA BI applications, including Oracle Financial Services Asset Liability Management Analytics and Oracle Financial Services Enterprise Financial Performance Analytics.
Oracle Financial Services Balance Sheet Planning	Balance Sheet Planning performs distributed budgeting of all balance sheet and income statement accounts.
Oracle Financial Services Funds Transfer Pricing	Funds Transfer Pricing performs Matched Rate Transfer Pricing for an entire balance sheet.
Oracle Financial Services Pricing Management – Transfer Pricing Component	Pricing Management allows users to call the Transfer Pricing engine in real time, providing the line bankers with on-demand information to support deal pricing.
Oracle Financial Services Profitability Management	Profitability Management assists customers in developing multiple levels of profitability (Example: organizational, product, customer, account profitability).
Oracle Financial Services Analytical Applications Infrastructure	OFSAAI is a set of powerful administrative tools that provide management of the OFSAA environment and access to the database by OFS application users. The Infrastructure is a required component for all OFSAA applications with the exception of Balance Sheet Planning.
Oracle Financial Services Advanced Analytical Applications Infrastructure	The advanced infrastructure provides the modeling framework and stress testing framework as additional complimentary components to supplement to core analytic applications.
Organizational Profitability	Organizational Profitability allocates all income and expense from Cost Centers to Profit Centers to build the profit centers to get the final profit and loss from the Profit Centers perspective.
Operating Cost	Non-interest related cost of running a business.
Option Costs	Costs assigned to measure the value of any customer option on an instrument. (Example: prepayments on mortgage loans). These costs are typically added to the base transfer rate to compute an all-in funding rate.
Portfolio Fields	Fields in the OFSAA database that are common to multiple instrument tables. The OFSAA Administrator determines the portfolio fields.
Product Profitability	The goal of Product Profitability is to enrich the data by giving product alignment along the profit and loss statement.
Profit Centers	Profit Centers are mainly branches, loan centers, and treasury centers.
Process Data	Data required to produce results.
Processing Table	Instrument table available for, or included in, a Transfer Pricing Process rule run.
Product Dimension	A Product dimension on which Oracle Funds Transfer Pricing product level assumptions are based. The Product dimension should be populated with your product chart of account at a level of detail appropriate for assigning transfer pricing assumptions to your data.
Risk Adjusted Return on Capital (RAROC)	RAROC is a risk-based profitability measurement framework for analyzing risk-adjusted financial performance and providing a consistent view of profitability across businesses.
Reconciliation	The process of comparing information from one data source to another.
Record	Usually a single account or transaction, or aggregation of accounts, stored in the database (also called a row).
Reference Currency	Currency in which the instrument data is expressed and designated by the currency code on the record. Within the application, the reference currency must be selected to indicate assumptions that will be applied to corresponding currency designations contained in the account data. Reference currency is also the currency with which an Interest Rate Code is associated. When you create an Interest Rate Code, you select the reference currency.
Rule	A grouping of assumptions, also known as a business rule.
Simple Dimension	A dimension that does not have hierarchies or attributes. A simple dimension is just a list of members.
Single Rate	A Standard Allocation Model consists of a list of individual allocation rules that run sequentially and that may be executed as a single unit of work. An interest rate code with only one point defined (Examples: prime rate and 11th District Cost of Funds Index).
SQL	Structured Query Language. A direct method of accessing the raw OFSAA database.
Standard Allocation Models	A Standard Allocation Model consists of a list of individual allocation rules that run sequentially and that may be executed as a single unit of work.
Static Driver Allocation Type	It is used to perform simple factor calculations against a set of source balances.
Static Driver Table Allocation Type	Static Driver Table allocation rules offer functionality similar to Dynamic Driver allocation rules but use driver data that is stored in a Oracle Insurance Allocation Manager for Enterprise Profitability rule type called Static Table Driver.
Transfer Pricing Rule	An OFSAA Rule used to specify the method for transfer pricing each balance sheet account.
Top-Down Allocation Methods	Top-down allocation methods are used both in Management Ledger level profitability and Account Level profitability
Transaction summary	Transaction Summary Data contains information pertaining to Instruments. Generally, Transaction Summary data are the child nodes of Instruments. For example, number of statements received, number of calls received in the call center, number of checks cleared, and so on.
Volatility	One of the user-input term parameters of all (discrete-time) term structure models; represents a standard deviation of the one-month annually compounded rate.
Yield Curve	Term structure of annually compounded zero-coupon bond yield, as recorded in Rate Management > Historical Rates.