Prerequisites

Before following the Contractual Cash Flow method, ensure that the following prerequisites are met:

• Contractual Cash Flows are expected to be available before the ECL computation process is executed. It can be either generated by Oracle's Cash Flow engine or by an external engine or provided as a download. While providing cash flow as a download in Stage Account Cash Flows, a given financial element must not be repeated for an account and cash flow date combination. For example, for any particular cash flow date, there can only be one Principal and Interest Cash Flow each.

  The internal cash flow engine used is common across other OFSAA applications. For more details about Oracle's Cash Flow engine, see the OFS Asset Liability Management User Guide.

• PD and LGD values are expected either as a model output from the models hosted in the Enterprise Modeling Framework or directly as an input.
• PD Interpolation Batch.