Negative FTP Rates Generated With Cash Flow Zero Discount Method (Doc ID 1662982.1)

Last updated on DECEMBER 09, 2016

Applies to:

Oracle Financial Services Funds Transfer Pricing - Version 6.1.0.3 and later
Information in this document applies to any platform.
Oracle Financial Services Analytical Applications (OFSAA)

Symptoms

On Oracle Financial Services Funds Transfer Pricing (FTP) 6.1.0.3 when validating generated transfer rates from Cash Flow Zero Discount, it is found that there are some negative transfer rates generated when the cur net par bal c amount is either 0 or negative amount.

ACTUAL BEHAVIOR
Negative FTP rates are generated when Cash Flow: Zero Discount Factors method is attached to an FTP process.

EXPECTED BEHAVIOR
Expect the cash flow engine to default to the first term point rate in the interest rate curve as the transfer rate and not generate negative rates.

Steps to reproduce

The issue can be reproduced at will with the following steps:
1. Run FTP process with Cash Flow: Zero Discount Factors method for instrument records where cur net par bal c amount is either 0 or negative amount.

Cause

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