EDMC-FIBO/FND 1.0 FTF Avatar
  1. OMG Issue

FIBOFTF2 — hasPercentageAmount is semantically flawed

  • Key: FIBOFTF2-11
  • Status: closed  
  • Source: 88solutions ( Pete Rivett)
  • Summary:

    A percentage only makes sense as a percentage of some other value. FIBO is missing the notion of the other value.
    For example a fee expressed as a percentage is (implicitly) a percentage of some amount. But for common occurrences such as a management fee that is "1% of value invested" a lot more precision is needed as to when the value is taken, currency etc.
    In fact percentageMonetaryAmount definition states "A measure of some
    amount of money expressed as a percentage of some other amount,
    some notional amount or some concrete Money Amount" with an editorial note "This will have a relationship to what it is a percentage of.
    Alternatively and for some applications of this term, there may be an
    enumerated list of possible things it is a percentage of."
    However there is no such capability provided that I can see.

  • Reported: EDMC-FIBO/FND 1.0b1 — Tue, 22 Apr 2014 17:56 GMT
  • Disposition: Resolved — EDMC-FIBO/FND 1.0
  • Disposition Summary:

    Change the representation of percentages so that a percentage can refer to what it is a percentage of

    This Issue Resolution covers the following issues:

    Issue 11: “hasPercentageAmount is semantically flawed”

    Issue 6: “Allow for percentage notional amounts” is merged with this.

    Issue 6 deals with one specific impact of this (on percentage notional in the CurrencyAmounts ontology) which is described here.

    hich is described here.
    Rationale
    It has been pointed out that while percentage exists as a datatype on data feeds the semantics of this are incomplete – it would be more correct semantically to frame percentage in terms of what it is a percentage of
    This means that references to percentage should be replaced: instead of a datatype property with the datatype percent, these should all be object properties with the range of percentage.
    Percentage itself is then to be modeled as a class with an object propery whose range is Thing, identifying the thing that this is a percentage of (unless a mode specific but suitable abstract class comes to hand); and a datatype property of type “percent” being the numeric amount.
    Naming is to be thought about e.g. what is percent and what is percentage, which name to apply to the datatype which contains the numeric % amount and so on.
    Impact is to be assessed – there will be considerable impact in Indices and Indicator and in in future Securities, derivatives etc. models. Impact within Foundations is also to be assessed but is probably minimal. There will be impact on CurrencyAndAmount, where Issue 6 was filed. Use of the new properties should make reference to the concept of Notional Amount.
    The existing percentage datatype is in BusinessFacingTypes
    Change is to be carried out in the BusinessFacingTypes ontology, where these properties are already present. Note that Basis points should be subject to a similar treatment.

  • Updated: Tue, 21 Apr 2015 01:18 GMT
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