How To Fix TPM_THX1281 - Effectiveness test method &1 is not correct for the given scenario.

TPM_THX1281 - Overview

• Message type: E = Error

• Message class: TPM_THX1 - Treasury: Message Class for P-HA

• Message number: 281

• Message text: Effectiveness test method &1 is not correct for the given scenario.

What causes this issue?

Selected effectivenees test method uses Basis Point Shift logic for
market data calculation during prospective test. This logic is allowed
only for selected scenarios namely 150, 710 and 720.

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?

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 TPM_THX1281 - Effectiveness test method &1 is not correct for the given scenario. ?

  The SAP error message TPM_THX1281 indicates that there is an issue with the effectiveness test method specified in the context of a transaction or process related to Treasury and Risk Management (TRM) or Financial Instruments. This error typically arises when the effectiveness test method defined for a hedge accounting relationship does not align with the requirements of the specific scenario being processed.
  
  Cause:
  
  Incorrect Effectiveness Test Method: The effectiveness test method specified may not be appropriate for the type of hedging relationship or the financial instruments involved.
  
  Configuration Issues: There may be configuration settings in the system that do not match the requirements for the effectiveness test.
  Data Inconsistencies: The data related to the hedging relationship or the financial instruments may be incomplete or incorrect.
  Regulatory Compliance: The effectiveness test method may not comply with the relevant accounting standards (e.g., IFRS or GAAP) for the specific scenario.
  
  
  Solution:
  
  Review Effectiveness Test Method: Check the effectiveness test method