My Oracle Support Banner

Conditional Assumption in ALM Prepayment Rule Always Pick The First Conditional Rate (Doc ID 2670280.1)

Last updated on MARCH 24, 2021

Applies to:

Oracle Financial Services Asset Liability Management - Version and later
Information in this document applies to any platform.
Oracle Financial Services Asset Liability Management (ALM)
Oracle Financial Services Analytical Applications (OFSAA)
Oracle Financial Services Enterprise Performance Management (EPM)


On ALM version, 3 conditional rates have been set under Prepayment rule, however the engine always picks the first conditional rate, hence Prepayment Runoff (FE 180) gets wrongfully calculated.


In given scenario (for which instrument data has ORG_TERM of 12, ORG_TERM_MULT = M), Engine always fell in the first condition, as first condition has range of ORG TERM 1-33 MULT DAYS and code was overlooking Days. 



1. Define similar ALM Static Deterministic process with Prepayment rule on Term Deposit account.

Note: To define Early Redemption assumptions, the account type for the selected product must be a Liability.

2. Run process and check FE 180 value.




To view full details, sign in with your My Oracle Support account.

Don't have a My Oracle Support account? Click to get started!

In this Document

My Oracle Support provides customers with access to over a million knowledge articles and a vibrant support community of peers and Oracle experts.