BrokenDateOISRate.java

package org.drip.sample.intexfeed;

import java.util.Map;

import org.drip.analytics.date.*;
import org.drip.market.otc.*;
import org.drip.numerical.common.FormatUtil;
import org.drip.param.creator.MarketParamsBuilder;
import org.drip.param.market.CurveSurfaceQuoteContainer;
import org.drip.param.valuation.ValuationParams;
import org.drip.product.rates.FixFloatComponent;
import org.drip.service.env.EnvManager;
import org.drip.service.template.LatentMarketStateBuilder;
import org.drip.state.discount.MergedDiscountForwardCurve;

/*
 * -*- mode: java; tab-width: 4; indent-tabs-mode: nil; c-basic-offset: 4 -*-
 */

/*!
 * Copyright (C) 2019 Lakshmi Krishnamurthy
 * Copyright (C) 2018 Lakshmi Krishnamurthy
 * Copyright (C) 2017 Lakshmi Krishnamurthy
 * Copyright (C) 2016 Lakshmi Krishnamurthy
 * 
 *  This file is part of DROP, an open-source library targeting risk, transaction costs, exposure, margin
 *  	calculations, valuation adjustment, and portfolio construction within and across fixed income,
 *  	credit, commodity, equity, FX, and structured products.
 *  
 *  	https://lakshmidrip.github.io/DROP/
 *  
 *  DROP is composed of three modules:
 *  
 *  - DROP Analytics Core - https://lakshmidrip.github.io/DROP-Analytics-Core/
 *  - DROP Portfolio Core - https://lakshmidrip.github.io/DROP-Portfolio-Core/
 *  - DROP Numerical Core - https://lakshmidrip.github.io/DROP-Numerical-Core/
 * 
 * 	DROP Analytics Core implements libraries for the following:
 * 	- Fixed Income Analytics
 * 	- Asset Backed Analytics
 * 	- XVA Analytics
 * 	- Exposure and Margin Analytics
 * 
 * 	DROP Portfolio Core implements libraries for the following:
 * 	- Asset Allocation Analytics
 * 	- Transaction Cost Analytics
 * 
 * 	DROP Numerical Core implements libraries for the following:
 * 	- Statistical Learning
 * 	- Numerical Optimizer
 * 	- Spline Builder
 * 	- Algorithm Support
 * 
 * 	Documentation for DROP is Spread Over:
 * 
 * 	- Main                     => https://lakshmidrip.github.io/DROP/
 * 	- Wiki                     => https://github.com/lakshmiDRIP/DROP/wiki
 * 	- GitHub                   => https://github.com/lakshmiDRIP/DROP
 * 	- Repo Layout Taxonomy     => https://github.com/lakshmiDRIP/DROP/blob/master/Taxonomy.md
 * 	- Javadoc                  => https://lakshmidrip.github.io/DROP/Javadoc/index.html
 * 	- Technical Specifications => https://github.com/lakshmiDRIP/DROP/tree/master/Docs/Internal
 * 	- Release Versions         => https://lakshmidrip.github.io/DROP/version.html
 * 	- Community Credits        => https://lakshmidrip.github.io/DROP/credits.html
 * 	- Issues Catalog           => https://github.com/lakshmiDRIP/DROP/issues
 * 	- JUnit                    => https://lakshmidrip.github.io/DROP/junit/index.html
 * 	- Jacoco                   => https://lakshmidrip.github.io/DROP/jacoco/index.html
 * 
 *  Licensed under the Apache License, Version 2.0 (the "License");
 *   	you may not use this file except in compliance with the License.
 *   
 *  You may obtain a copy of the License at
 *  	http://www.apache.org/licenses/LICENSE-2.0
 *  
 *  Unless required by applicable law or agreed to in writing, software
 *  	distributed under the License is distributed on an "AS IS" BASIS,
 *  	WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
 *  
 *  See the License for the specific language governing permissions and
 *  	limitations under the License.
 */

/**
 * <i>BrokenDateOISRate</i> generates the OIS Rate for Monthly Increments in Maturity over 60 Years.
 *  
 * <br><br>
 *  <ul>
 *		<li><b>Module </b> = <a href = "https://github.com/lakshmiDRIP/DROP/tree/master/AnalyticsCore.md">Analytics Core Module</a></li>
 *		<li><b>Library</b> = <a href = "https://github.com/lakshmiDRIP/DROP/tree/master/FixedIncomeAnalyticsLibrary.md">Fixed Income Analytics Library</a></li>
 *		<li><b>Project</b> = <a href = "https://github.com/lakshmiDRIP/DROP/tree/master/src/main/java/org/drip/sample/README.md">Sample</a></li>
 *		<li><b>Package</b> = <a href = "https://github.com/lakshmiDRIP/DROP/tree/master/src/main/java/org/drip/sample/intexfeed/README.md">Intex Feed Inputs</a></li>
 *  </ul>
 * <br><br>
 * 
 * @author Lakshmi Krishnamurthy
 */

public class BrokenDateOISRate {

	private static final FixFloatComponent OTCOISFixFloat (
		final JulianDate dtSpot,
		final String strCurrency,
		final String strMaturityTenor)
	{
		FixedFloatSwapConvention ffsc = OvernightFixedFloatContainer.FundConventionFromJurisdiction (
			strCurrency
		);

		return ffsc.createFixFloatComponent (
			dtSpot,
			strMaturityTenor,
			0.,
			0.,
			1.
		);
	}

	private static final MergedDiscountForwardCurve OvernightCurve (
		final JulianDate dtSpot,
		final String strCurrency)
		throws Exception
	{
		String[] astrDepositMaturityTenor = new String[] {
			"1D",
			// "3D"
		};

		double[] adblDepositQuote = new double[] {
			0.0004,		// 1D
			// 0.0004		// 3D
		};

		String[] astrShortEndOISMaturityTenor = new String[] {
			"1W",
			"2W",
			"3W",
			"1M"
		};

		double[] adblShortEndOISQuote = new double[] {
			0.00070,    //   1W
			0.00069,    //   2W
			0.00078,    //   3W
			0.00074     //   1M
		};

		String[] astrOISFuturesEffectiveTenor = new String[] {
			"1M",
			"2M",
			"3M",
			"4M",
			"5M"
		};

		String[] astrOISFuturesMaturityTenor = new String[] {
			"1M",
			"1M",
			"1M",
			"1M",
			"1M"
		};

		double[] adblOISFuturesQuote = new double[] {
			 0.00046,    //   1M x 1M
			 0.00016,    //   2M x 1M
			-0.00007,    //   3M x 1M
			-0.00013,    //   4M x 1M
			-0.00014     //   5M x 1M
		};

		String[] astrLongEndOISMaturityTenor = new String[] {
			"15M",
			"18M",
			"21M",
			"02Y",
			"03Y",
			"04Y",
			"05Y",
			"06Y",
			"07Y",
			"08Y",
			"09Y",
			"10Y",
			"11Y",
			"12Y",
			"15Y",
			"20Y",
			"25Y",
			"30Y"
		};

		double[] adblLongEndOISQuote = new double[] {
			0.00002,    //  15M
			0.00008,    //  18M
			0.00021,    //  21M
			0.00036,    //   2Y
			0.00127,    //   3Y
			0.00274,    //   4Y
			0.00456,    //   5Y
			0.00647,    //   6Y
			0.00827,    //   7Y
			0.00996,    //   8Y
			0.01147,    //   9Y
			0.01280,    //  10Y
			0.01404,    //  11Y
			0.01516,    //  12Y
			0.01764,    //  15Y
			0.01939,    //  20Y
			0.02003,    //  25Y
			0.02038     //  30Y
		};

		return LatentMarketStateBuilder.SmoothOvernightCurve (
			dtSpot,
			strCurrency,
			astrDepositMaturityTenor,
			adblDepositQuote,
			"Rate",
			astrShortEndOISMaturityTenor,
			adblShortEndOISQuote,
			"SwapRate",
			astrOISFuturesEffectiveTenor,
			astrOISFuturesMaturityTenor,
			adblOISFuturesQuote,
			"SwapRate",
			astrLongEndOISMaturityTenor,
			adblLongEndOISQuote,
			"SwapRate"
		);
	}

	public static final void main (
		final String[] astrArgs)
		throws Exception
	{
		EnvManager.InitEnv ("");

		int iNumMonth = 720;
		String strCurrency = "USD";

		JulianDate dtSpot = DateUtil.CreateFromYMD (
			2017,
			DateUtil.OCTOBER,
			5
		);

		MergedDiscountForwardCurve mdfc = OvernightCurve (
			dtSpot,
			strCurrency
		);

		ValuationParams valParams = ValuationParams.Spot (dtSpot.julian());

		CurveSurfaceQuoteContainer csqc = MarketParamsBuilder.Create (
			mdfc,
			null,
			null,
			null,
			null,
			null,
			null
		);

		for (int i = 1; i <= iNumMonth; ++i) {
			String strMaturityTenor = i + "M";

			FixFloatComponent ffc = OTCOISFixFloat (
				dtSpot,
				strCurrency,
				strMaturityTenor
			);

			Map<String, Double> mapOutput = ffc.value (
				valParams,
				null,
				csqc,
				null
			);

			double dblOISRate = mapOutput.get ("SwapRate");

			double dblOISDV01 = mapOutput.get ("CleanFixedDV01");

			System.out.println (
				dtSpot + "," +
				strMaturityTenor + "," +
				ffc.maturityDate() + "," +
				FormatUtil.FormatDouble (dblOISRate, 1, 8, 100.) + "%" + "," +
				FormatUtil.FormatDouble (dblOISDV01, 1, 8, 10000.)
			);
		}

		EnvManager.TerminateEnv();
	}
}