PD Model Execution Parameters

The following are the PD Model execution parameters:

Table 9-6 Fields in the PD Model Execution Parameters table

Sl. No.	Parameter	Details	Values to be provided in Sandbox	Values to be provided While Deploying to Atomic Schema
1	FIC MIS DATE	Refers to the execution Date of the Sandbox Population.	Provide the Date for which the data is available in the Sandbox Schema.	Before deploying the PD Model definition to the atomic schema, the FIC_MIS_DATE needs to be updated as -1 in the PD Model Creation Window Definition. The model can be authorized and requested for deployment after this change.
2	SEGMENT ID	This refers to the segments or portfolios that need to be considered for PD model executions.	the SEGMENT ID (It can be referred to from the FSI_PERIOD_TM_MAP_MST Table). It also supports the value -1.	The value must be the SEGMENT ID (It can be referred to from the FSI_PERIOD_TM_MAP_MST Table). It also supports the value -1.
3	Apply Merton	Allows the PD model to know if the Merton R-value needs to be considered to adjust TTC to PIT PD.	The value can be either Y or N depending on whether you want the Merton R-value to be considered by the PD Model. If made N, the Model shall not consider the Merton R provided, irrespective of the APPLY MERTON R flag selection in the UI. If made Y, the model will take the input from APPLY MERTON R flag selection in the UI (either Yes or No).	The value can be either Y or N depending on whether you want the Merton R-value to be considered by the PD Model. If made N, the Model shall not consider the Merton R provided, irrespective of the APPLY MERTON R flag selection in the UI. If made Y, the model will take the input from APPLY MERTON R flag selection in the UI (either Yes or No).
4	Years to TTC	Number of Years for Smoothing the PD Values - Used to define the number of years over which the PD values have to be smoothened from the PIT values to TTC values post the application of Economic Scenarios. For example: If the total PD term structure is for 10 years and the Economic scenarios have been provided for 3 years, with Years to TTC as 4. The model output will have PIT PDs for 3 years, smoothened PD values for years 4 to 7, and TTC PDs for years 8 to 10.	Any number based on the bank's requirement.	Any number based on the bank's requirement.
5	Overwrite.DefaultRow	The value must be ‘Y’ If the user wants to make the default state an absorption state. Else ‘N’	The value must be ‘Y’ If the user wants to make the default state an absorption state. Else ‘N’	The value must be ‘Y’ If the user wants to make the default state an absorption state. Else ‘N’