How To Fix TE425 - Historical period / Confidence level too low, VaR = 0

SAP Error Message - Details

• Message type: E = Error

• Message class: TE - Market Risk Management

• Message number: 425

• Message text: Historical period / Confidence level too low, VaR = 0

What causes this issue?

While using the VAR algorithm 2 (VAR from absolute profit/loss) or the
VAR algorithm 4 (VAR from absolute profit/loss with a doubling of
measured values), a small historical time period and a low confidence
level can lead to the case that no VAR in the true sense of the word
can be calculated. In this case the VAR is equal to 0.

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?

Error message extract from SAP system. Copyright SAP SE.