Periods | ||||||||
Data Type: Annual Sequence (Optional) | ||||||||
Either an Annual Sequence (series of sequence numbers in the format mm.dd) or an Integer to select a fixed option | ||||||||
There are two kinds of use of Periods: Use 1: Determining How Much to Accrue Periods is nearly always accompanied by DayCount because together these two variabes define how to translate the distance between two dates into a fraction of a year for the purposese of determining how much an annual rate has accrued in a timeperiod. Depending on your value of DayCount, you don"t always need Periods. If Periods is not ACT/ACT (in period) and DayCount is not composite (in other words Daycount is types 0-5), Periods is not necessary, because for DayCounts like 30/360 and ACT/365 no knowledge of the Periods is necessary to determine the fraction of a year between two dates. If, as is very common, DayCount is ACT/ACT (in period) or is composite and part of it is ACT/ACT (in period) (eg 63), then you do need Periods to define what the "in period" part of the DayCount refers too. Use 2: Cash Timing Periods also defines when amounts are paid in relation to the period they relate to. If you use a function in cash mode (ProjMode=1) then you most definitely need Periods, unless you are happy with the default of quarterly in advance. You can specify Periods in two ways:
Periods can also accept a BusDaySwitch, a very powerful mechanism by which you can change the length of a period by a few days if the start or end day falls on a non-Business Day. So {-4,200} is quarterly in arrear, calendar quarters, but the start and end of periods will be moved if they fall on non-Business Days. | ||||||||
Example: 3 | ||||||||
Variable Values | ||||||||
Default(s) | ||||||||
4 | Calendar quarters (1.01, 4.01, 7.01, 10.01) | |||||||
Switches | ||||||||
-12 | Monthly in arrear, calendar months {1st Jan payment for Dec accrual, Feb 1 payment for Jan accrual etc} | |||||||
-4 | Quarterly in arrear, calendar quarters (1st April for Jan-March accrual, 1st Jul payment for April-June accrual, etc) | |||||||
-2 | 6 monthly in arrears (1st Jan payment for Jul-Dec accrual,1st July payment for Jan-June accrual ) | |||||||
-1 | Annually In Arrear 1st Jan payment for Jul-Dec accrual | |||||||
1 | Annually, 1st Jan | |||||||
2 | 6 monthly (1st Jan, 1st July) | |||||||
4 | Calendar quarters (1.01, 4.01, 7.01, 10.01) | |||||||
12 | Calendar months {1.01, 1.02 etc} | |||||||
13 | Real Estate English Quarter Days:25th March, 24th June, 29th September and 25th December of each year ie {3.25,6.24,9.29,12.25} | |||||||
14 | Continuous (could be thought of as daily) |