How To Fix RY617 - Hull-White model is not suitable for this transaction

RY617 - Overview

• Message type: E = Error

• Message class: RY - Messages for RM Basis

• Message number: 617

• Message text: Hull-White model is not suitable for this transaction

What causes this issue?

In the valuation rule you have chosen the "Hull/White" model as the
valuation model. The Hull-White interest structure model is, however,
only suitable for interest rate instrument options.

System Response

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

How to fix this error?

You can either change the valuation rule or assign another valuation
rule to the transaction.

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message RY617 - Hull-White model is not suitable for this transaction ?

  The SAP error message RY617, which states "Hull-White model is not suitable for this transaction," typically occurs in the context of financial transactions involving interest rate derivatives or other financial instruments that utilize the Hull-White model for pricing or risk management.
  
  Cause:
  
  
  Model Applicability: The Hull-White model is a specific interest rate model used for pricing and managing the risk of interest rate derivatives. This error indicates that the transaction you are trying to process is not compatible with the Hull-White model, possibly due to the characteristics of the transaction or the parameters set in the system.
  
  
  Transaction Type: The transaction type may not be supported by the Hull-White model. For example, certain exotic options or non-standard derivatives may not be modeled correctly with this approach.
  
  
  
  Configuration Issues: There may be configuration settings in the SAP system that are not aligned with the requirements of the Hull-White model, such as missing parameters or incorrect