By default when you open the OIS Curve page the system displays the market data for the selected cut-off time in the pricing page from which it was opened.
In this page you can then edit each interest rate as required. You can do any or all of the following:
Edit each interest rate individually. After you manually edit a value in the yield curve, the background of that field turns blue.
You can shift the rates for all tenors up or down by the same basis points. You do this entering a value in the Shift Yield Curve By field, using the + <> - toggle button to indicate if you want to shift the interest rates up or down, and then clicking the Calculate button. The value can be a whole number or less than a whole number, e.g., 0.34.
After you do this it is noted in the page that you have shifted the OIS curve by the defined amount.
Copy and paste inflation rates within the yield curve. After you do this the background of each field with a pasted rate turns blue. For more information see Copying & Pasting Data from the OIS Curve.
Editing an interest rate also affects the discount factor and zero rate for the same tenor. However, to see these changes you must first click the Calculate button.
After making any changes, you can then tell the system to freeze the rates, that is, to use the edited rates until further notification. You do this by clicking the Accept button.
The displayed rates are then used in the pricing pages until you do one of the following:
Click the Refresh button in the OIS Curve page.
Click the Refresh button in the Single Option page or the Portfolio page.
Log out of the system.
If as a result of your changes any of the rates are now invalid, they will be displayed in red. For more information on invalid rates in the yield curve see Understanding the Colors Used for Rates in a Yield Curve.
To keep your edited yield curve you must save it into the SD-IR Explorer window. For more information see Saving an OIS Curve.
To manually edit an interest rate in the OIS curve page:
| 1. | Access the OIS Curve page. |
| 2. | Select the interest rate you want to edit and enter the new value. |
| 3. | Click outside the cell. The call is highlighted in blue. |
| 4. | To recalculate the corresponding discount factors and zero rates accordingly click Calculate. |
| 5. | To instruct the system to use the edited data displayed in this page in all calculations as relevant (instead of the system data) until instructed otherwise, click Accept. |
| 6. | Click OK. |
To shift all the interest rates in the OIS Curve page:
| 1. | Access the OIS Curve page. |
| 2. | In the Shift Yield Curve By field enter the amount in basis points by which you want to shift each interest rate. |
| 3. | Click the Calculate button to shift the interest rate for each tenor. The corresponding discount factor and zero rate for each tenor are recalculated accordingly. |
| 4. | To instruct the system to use the edited data displayed in this page in all calculations as relevant (instead of the realtime market data) until instructed otherwise, click Accept. This action automatically shifts the interest rates as well if necessary, and recalculates the corresponding discount factors and zero rates accordingly. |
| 5. | Click OK. |