How To Fix FTBBYC009 - Basis Spread &1: Reference rate &2 has invalid term

SAP Error Message - Details

• Message type: E = Error

• Message class: FTBBYC - Messages for DB accesses

• Message number: 009

• Message text: Basis Spread &1: Reference rate &2 has invalid term

What causes this issue?

You have assigned a reference rate to the basis spread ID that has the
payment frequency <LS>One interest payment at end of term</> and a term
that cannot be mapped to a standard payment frequency.

System Response

You are not allowed to save the basis spread ID because the yield curve
framework would not be able to make correct calculations for it.

How to fix this error?

Assign a different reference rate with a permitted payment frequency.
Permitted payment frequencies are:
All frequencies except <LS>Zero Interest Rate</>
<LS>Zero Interest Rate</> in combination with one of the following
interest rate terms:
1 Month
3 Months
6 Months
1 Year
,,<ZH>OR</>
Set the <LS>Extended Settings</> indicator
and set the payment frequency of the basis spread explicitly. Note: "at
end of term" in this case refers to the term of the basis spread, not
the reference rate.

Procedure for System Administrators

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message FTBBYC009 - Basis Spread &1: Reference rate &2 has invalid term ?

  The SAP error message FTBBYC009 indicates that there is an issue with the reference rate used in a basis spread calculation. Specifically, it suggests that the reference rate has an invalid term. This error typically arises in the context of financial transactions, particularly in the area of treasury and risk management where basis spreads are calculated for various financial instruments.
  Cause:
  
  Invalid Reference Rate: The reference rate specified in the transaction may not be valid for the term being used. This could be due to a mismatch between the rate and the expected term structure.
  Configuration Issues: There may be configuration issues in the system where the reference rates are defined. This could include missing or incorrectly defined rates in the system.
  Data Entry Errors: There might be a mistake in the data entry where the term or the reference rate is incorrectly specified.
  Market Data Issues: The market data feed that provides the reference rates may not have the necessary data for the specified term.
  
  Solution:
  
  Check Reference Rate Configuration: Verify that the reference rate is correctly configured in the system. Ensure that the rate exists for the term you are trying to use.
  Validate Data Entry: Review the transaction data to ensure that the correct reference rate and term are being used. Correct any discrepancies found.
  Update Market Data: If the issue is related to market data, ensure that the market data feed is up to date and includes the necessary reference rates for the required terms.
  Consult Documentation: Refer to SAP documentation or help resources for specific guidance on configuring and using basis spreads and reference rates.
  Contact Support: If the issue persists after checking the above points, consider reaching out to SAP support for further assistance.
  
  Related Information:
  
  Transaction Codes: Familiarize yourself with relevant transaction codes in SAP that deal with treasury management and basis spreads, such as transaction codes for configuring interest rates and reference rates.
  SAP Notes: Check for any SAP Notes related to this error message, as they may provide specific fixes or patches that address known issues.
  User Forums: Engage with SAP community forums or user groups where similar issues may have been discussed, and solutions shared.
  
  By following these steps, you should be able to identify the root cause of the FTBBYC009 error and implement a solution to resolve it.