How To Fix TE874 - Do not change market value component calculation after designation

TE874 - Overview

• Message type: E = Error

• Message class: TE - Market Risk Management

• Message number: 874

• Message text: Do not change market value component calculation after designation

What causes this issue?

You changed the setting in the market value component calculation field
for calculation type &V1&.

System Response

If designated hedging relationships using this calculation type already
exist, this change leads to errors in the market value decomposition.

How to fix this error?

Do not change the market value component calculation setting if
designated hedging relationships using this calculation type already
exist.

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 TE874 - Do not change market value component calculation after designation ?

  The SAP error message TE874, which states "Do not change market value component calculation after designation," typically occurs in the context of financial instruments or asset management within SAP. This error is related to the handling of market value calculations for financial instruments that have already been designated for hedge accounting or similar purposes.
  
  Cause:
  The error arises when there is an attempt to modify the market value component calculation of a financial instrument after it has been designated. In SAP, once a financial instrument is designated for hedge accounting, the market value calculation becomes critical for maintaining the integrity of the hedge relationship. Changing the calculation method or parameters after designation can lead to inconsistencies and inaccuracies in financial reporting.
  
  Solution:
  To resolve this error, consider the following steps:
  
  
  Review Designation Status: Check if the financial instrument is already designated for hedge accounting. If it is, you cannot change the market value component calculation.
  
  
  Reassess