FpML Issues Tracker

701: eqd-28 is missing an else clause

May 14, 2008

closed

Minor

Always

Equity Derivatives

Admin

apparry

Summary

eqd-28 is missing an else clause.

The rule today is: " eqd-28 (Mandatory) Context: EquityMultipleExercise (complex type) If integralMultipleExercise is present, (minimumNumberOfOptions / integralMultipleExercise) must be a positive integer. Comment: When integral multiple exercise is present, minimum number of options exercised must be a positive integer multiple. "

The solution is to elevate the "if" clause to a condition on the context. : " eqd-28 (Mandatory) Context: EquityMultipleExercise (complex type)[integralMultipleExercise] minimumNumberOfOptions modulo integralMultipleExercise is 0. Comment: When integral multiple exercise is present, minimum number of options exercised must be a positive integer multiple. "

NB The expression "(minimumNumberOfOptions / integralMultipleExercise)" is unclear. It looks like an XPath expression to many.

Notes:

  • andrew

    05/14/08 8:57 pm

    Or re-word the description:

    If integralMultipleExercise exists then minimumNumberOfOptions must be a positive integer multiple of integralMultipleExercise.

  • matthewdr

    05/15/08 11:46 am

    The issue raised here is the missing “else” clause. Rewording is good, but it won’t fix the missing “else” clause.

    The business question here for the EQDWG is in which circumstances does the rule apply:
    1. For all EquityMultipleExercise
    2. For all EquityMultipleExercise that have an integralMultipleExercise

    My proposal is that the second case is the correct business condition, and I ask the WG to verify this.

  • matthewdr

    05/16/08 1:33 pm

    Adopted at EQDWG today.

  • mgratacos

    05/16/08 1:33 pm

    EQDWG 2008-05-16: agreement to implement as suggested by Matthew.

  • h_mcallister

    05/16/08 3:36 pm

    Doesn’t this issue need to go to the Validation Working group?

  • h_mcallister

    05/16/08 3:54 pm

    It’s nice if the validation rules have an executable expression, however:
    (1) XQuery is not the only possible expression of a rule
    (2) Some rules cannot be conveniently (or even practically) expressed in XQuery
    (3) The executable expression should not take precedence over the text description, which leaves the choice of executable form open to the implementer. This is consistent with the principle of FpML as an open standard.

    Placing undue emphasis on a particular executable expression risks obfuscating, rather than clarifying, the interpretation of the rule.

  • matthewdr

    05/16/08 5:37 pm

    The general case of how to represent the rule has already been referred to the VWG. A decision is awaited.

    On this specific rule the EQD consensus at the meeting was to finalize what the EQDWG consensus was and then accept any subsequent VWG comments if the VWG wish to comment.

    The proposal is not in XQuery – it is in the stlyized English of the VWG. If the VWG changes its stylized English then the proposal will be changed to whatever the VWG decided. The proposal is in the VWG’s stylized English.

  • matthewdr

    06/06/08 1:46 pm

    Discussed at EQDWG. VWG decisions has happened and this is waiting for implementation.

  • mgratacos

    06/06/08 1:47 pm

    EQDWG: waiting for an implementation.

  • lyteck

    07/10/08 8:02 pm

    implemented with condition. used rule definition suggested by Marc G: “minimumNumberOfOptions must be a positive integer multiple of integralMultipleExercise”

  • matthewdr

    08/12/08 5:28 pm

    accepting resolution.

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