Deferred Runoff (540) Balance Runs Off and Current Balance = 0 in Bucket_001 (Doc ID 1382817.1)

Last updated on DECEMBER 13, 2011

Applies to:

Oracle Financial Services Asset Liability Management - Version: 5.2.2 and later   [Release: 5 and later ]
Information in this document applies to any platform.
Oracle Financial Services Analytical Applications (OFSAA)

Symptoms

In Oracle Financial Services Asset Liability Management (ALM) 5.2.2, when you run an ALM Process against instrument table records with deferred balances where DEFERRED_CUR_BAL <> 0 and CUR_BOOK_BAL <> CUR_PAR_BAL, Deferred Runoff (FE 540) exists in BUCKET_001 but runs off immediately and the Ending Balance (FE 100) does not originate until the first Cash Flow Date (ex. Next Payment Date).  The entire deferred balance runs off in BUCKET_001 when you expect the deferred balance to be amortized over the life of the record.

The instrument table records have a Product with an Account Type of "Earning Assets".  If you change the Account type to "Other Assets", the Deferred Runoff amortizes correctly and the Current Balance exists in the first bucket.  However, not all Financial Elements are output for the "Other Assets" Account Type.

Steps to Reproduce:
  1. Go to Asset Liability Management
  2. Go to ALM Process > Static Process > Static Deterministic
  3. Run an ALM Process against a table with deferred balances
Financial Element 540 runs off immediately in the RES_DTL_xxxxxx table.

Cause

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