Pricing: Maturity Selection

This feature enables you to use the maturity selection function to determine what kinds of quotations are used in the CPE formula evaluation.

In a quotation rule, you can define the parameters that control the maturity selection function in the CPE term of a business document. For more information about the quotation rule, see Pricing: Quotation Rule.

You can select the maturity of a DCS-based quotation by choosing one of the following values of the Maturity Selection Type field:

Quotation-Date-Based: The system automatically performs the maturity selection after the determination of the quotation period. The system selects price quotations of commodity futures by using the Time to Maturity field and the current quotation date. The system selects price quotations of commodity forward indexes by using the Timing field and the current quotation date.
Note
- For specific data constellations, it is possible that the system uses price quotations from multiple maturities.
- For the commodity forward index, the Timing field is mandatory.
End of the note.
Key-Date-Based: The system automatically performs the maturity selection before the determination of the quotation period. The system determines the maturity key date automatically by a maturity selection routine. This routine selects a maturity key date for a DCS period type starting from the base date. The base date is calculated from a reference date and an optional date offset.

Note
The system uses price quotations from only one maturity.

End of the note.
Manual: You select the maturity manually in the document either using the maturity key date or the maturity description.

Note
The system uses price quotations from only one maturity.

End of the note.

Note Note

For commodity forward indexes, the system automatically uses quotations of period type Quotation Period Settlement and sets the maturity selection type to Quotation-Date-Based.
The existing CPE formula evaluation logic corresponds to the quotation-date-based approach.

End of the note.

You can control how the key-date-based approach works in detail by specifying the following parameter values in the quotation rule:

Reference date routine for maturity selection: Specifies the routine that determines the reference date for the automatic selection of a maturity key date. Available preconfigured values are the same as for the reference date routine in the period determination rule.
Date offset routine for maturity selection: Specifies the routine that determines the date offset applied on the reference date value. Available preconfigured values are the same as for the date offset routine in the period determination rule.
Maturity selection routine: With this routine you can control how the system automatically selects a maturity key date that uniquely identifies a maturity.
Period type: Specifies the periods that describe the maturity of a derivative contract specification (DCS) ID. The possible values for the period type depend on the derivative category of the DCS ID.

You can select the maturity key date manually in a business document in the following ways:

In the Maturity Description field and in the Maturity Key Date field you can use the search help. The value list of the search help proposes all key dates of maturities that are traded after the pricing date. You can override the proposal by entering a value in the Price Date field.
In the Maturity Description field, you can enter a text using wildcards.

Technical Details

Technical Name of Product Feature	SDBFPR_MATURITY_SELECTION
Product Feature Is	New
Country Dependency	Valid for all countries
Software Component Version	SAP_APPL 617
Application Component	Commodity Management in Logistics (LO-CMM), Pricing and Conditions (SD-BF-PR), Purchasing (MM-PUR)
Availability	SAP Enhancement Package 7 (SP04) for SAP ERP 6.0
Required Business Function	LOG_SD_COMMODITY_03 or LOG_MM_COMMODITY_03

Customizing

The reference date routine for maturity selection reuses the implementations of the Reference Date and Time Routine.
The date offset routine for maturity selection reuses the implementations of the Date Offset Routine.
The maturity selection function introduces the BAdI definition BAdI: CPE Formula Evaluation Maturity Selection within the CPE formula evaluation. We deliver the following standard implementation that you can display in Customizing under Commodity Pricing Commodity Pricing Engine General CPE Settings Define CPE Routine with the value Nearby Maturity.
If you want to create your own BAdI implementation, you make the Customizing settings under Commodity Pricing Commodity Pricing Engine General CPE Settings Define Partner- or Customer-Specific CPE Routine BAdI: CPE Formula Evaluation Maturity Selection .

You can choose all routines in the quotation rule in Customizing under Start of the navigation path Commodity Pricing Next navigation step Commodity Pricing Engine Definition of CPE Quotations Define Quotation Rule End of the navigation path .