FIBOFBC11_12
Disposition: Resolved
OMG Issue No: FIBOFBC11_12
Title:The concept of a lifecycle and lifecycle event is urgently needed for securities and derivatives
Source: David Newman, Wells Fargo
Summary:
The concept of a lifecycle, such as a product lifecycle, economic lifecycle, etc. is urgently needed for securities and derivatives, together with concepts for lifecycle stages and events. These concepts are shared across a number of finance areas, for example for loan origination, the lifecycle of a capital markets deal, and in particular for swaps and derivatives.
New SEC rulings will require reporting of certain information as at a number of stages in the lifecycle of an order, including at origination, routing, modification, cancellation, and execution, so having the concept of a lifecycle (and in this case an order lifecycle), the relevant stages, and events that occur during those stages, including but not limited to events that trigger reporting requirements, is essential.
Discussion:
This issue affectssection 9.4.1Ontology: Financial Products and Services in the FIBO FBC1.0 Beta 2specification. It is entirely additive, meaning that no existing content is deprecated or modified via the changes described herein.
The resolution involves the addition of 3 classes and 2 properties to the existing ontology, together with the relevant metadata supporting those additions.
Resolution:
Revisesection 9.4.1 Ontology: Financial Products and Services, as follows.
Revised Text:
- Revise Table 9.16 Financial Products and Services Ontology Metadata to change the owl:versionIRI from
to
- Replace Figure 9.38 Financial Products and Services Class Hierarchywith the following figure:
- Insert a new figure, caption, and text following the text describing Figure 9.45 Definition of a Basket, as follows:
Figure 9.46Definition of Lifecycle
Figure 9.46 depicts the concepts of a lifecycle, lifecycle stage, and lifecycle event, which cover the cyclical nature of families, organizations, processes, products, marketing, and order management, portfolio management or other systems. In the context of FIBO, examples include definitions for call notification and coupon payment events as aspects of the lifecycle of a bond.
- Revise table 9.17, Financial Products and Services Ontology Details, as follows:
(1)Insert a new definition for Lifecycle as a new row following the row for Holding, as follows: (a) first column should be Lifecycle(lifecycle), (b) middle column should be:
Definition: an arrangement that compares the cyclical nature of families, organizations, processes, products, marketing, and order management, portfolio management or other systems with the cradle to grave life stages (birth, growth, maturity, decay, and death) of living organisms
Example: The product life cycle describes the period of time over which an item is developed, brought to market and eventually removed from the market. The cycle is broken into four stages: introduction, growth, maturity and decline. The idea of the product life cycle is used in marketing to decide when it is appropriate to advertise, reduce prices, explore new markets or create new packaging.
Adapted from:
Adapted from:
(c) rightmost column should be:
Parent Class: ClassificationScheme
Property Restriction: hasStage.LifecycleStage (fibo-fbc-pas-fpas-27)
holdsDuring.DatePeriod (fibo-fbc-pas-fpas-26)
(2)Insert a new definition for LifecycleEvent as a new row following the row for Lifecycle, as follows: (a) first column should be LifecycleEvent (lifecycle event), (b) middle column should be:
Definition: an event that occurs during a given stage of some lifecycle
Example: a call notification or coupon payment as a part of a bond lifecycle
Adapted from:
(c) rightmost column should be:
Parent Class: OccurrenceKind
Property Restriction: appliesTo.Lifecycle (fibo-fbc-pas-fpas-31)
appliesTo.LifecycleStage (fibo-fbc-pas-fpas-32)
(3)Insert a new definition for LifecycleStage as a new row following the row for LifecycleEvent, as follows: (a) first column should be LifecycleStage (lifecycle stage), (b) middle column should be:
Definition: a phase in a lifecycle or process
Example: a research and development phase of a product lifecycle, the introduction phase in a marketing lifecycle, a growth stage in an economic lifecycle, or the origination phase in the lifecycle of a loan
Adapted from:
Adapted from:
(c) rightmost column should be:
Parent Class: Classifier
Property Restriction: isStageOf.Lifecycle (fibo-fbc-pas-fpas-29)
comprises.LifecycleEvent (fibo-fbc-pas-fpas-30)
holdsDuring.DatePeriod (fibo-fbc-pas-fpas-28)
(4)Insert a new definition for hasStage as a new row following the row for hasConstituent, as follows: (a) first column should be hasStage (has stage), (b) middle column should be:
Definition: relates something, such as a product lifecycle or process, to a phase or stage in that lifecycle
Adapted from:
(c) rightmost column should be:
Parent Property: hasPart
Range: LifecycleStage
(5)Insert a new definition for isStageOf as a new row following the row for isFacilitatedBy, as follows: (a) first column should be isStageOf (is stage of), (b) middle column should be:
Definition: relates something, such as a product lifecycle or process, to a phase or stage in that lifecycle
Adapted from:
(c) rightmost column should be:
Parent Property: isPartOf
Domain: LifecycleStage
Property Axiom: inverse of hasStage
Disposition:Resolved