Simulations

You can view how an instrument's rate responds when its index is subjected to various shocks on the Pricing Opportunity page.

When examining a floating or adjustable-rate loan, you can select the Simulations option. After subjecting the index to various shocks, you can see how they affect the instrument's projected profit and return on equity (ROE).

These simulations are provided for informational and decision-making purposes only and do not change any of the instrument's rate-related settings.


Pricing Opportunity Simulations.

  • Simulation Sets
    Before you can view instrument rate simulations, a senior loan officer must set up the simulation sets in the Assumptions setup page.
  • Simulations Table
    You can examine the effect of index changes on different pricing scenarios in the Simulations table on the Pricing Opportunity page.
  • Simulations Graph
    You can see a visual representation of how an index changes for a simulation in the Simulations graph on the Pricing Opportunity page.
Parent topic: Pricing Opportunity