Interest Rates

Interest Rate Series

Interest rate series are referenced when entering general details for material contracts, specifying contract pricing and used when generating invoices.

Multi-Maturity Interest Rate Series

A multi-maturity interest rate has rates for predefined maturity periods. Rates for other maturity periods are interpolated if required. For example, if a rate is required for a maturity of 45 days, the rate is interpolated from the rates entered for maturities of 1 month and 2 months.

Such interpolated rates are needed for calculating the net present value of hedge positions and options pricing. The configuration of market commodities includes selecting an interest rate. If a multi-maturity interest rate is selected, the whole series is selected, rather than rates for an individual maturity period.

Only a single maturity period can be selected as the interest rate in payment conditions. No interpolation is done for rates from a single maturity period.