We’re excited to announce support for modeling purchase schedules when creating cashflow scenarios, enabling more dynamic and realistic modeling for forward flow agreements. This update allows users to project monthly balance growth for individual cashflow cohorts within the scenario editor.
What’s Changing?
New enhancements include:
- Purchase Schedule Input: Enter monthly purchase growth assumptions for each cohort in a scenario.
- Flexible Unit Types: Choose from three unit types—Absolute Percentage (ABS%), Compounding Percentage (COM%), or Absolute Dollar (ABS$)—to best match how you want to model portfolio growth.
- Scenario Integration: Purchase schedule inputs are saved with each scenario and applied to cohort balances during cashflow projections, providing a more accurate view of portfolio evolution over time.
Notes:
Purchase schedules are based on the end-of-month pool balance
For ABS$, a base input will apply to each cohort created, and values are treated as incremental rather the cumulative
Who is Impacted?
Portfolio Surveillance users modeling forward flow purchases; warehouse borrowers evaluating the impact of new purchases on their portfolio; and DealStudio users structuring private transactions with a ramp-up purchase period.
Why is This Important?
Projecting balance growth requires manual workarounds or external calculations. dv01’s purchase schedules streamlines this process, making it easy to:
- Reflect real-world purchase activity when generating cashflow projections for forward flow agreements
- Test the impact of different growth assumptions on deal performance
- Support more sophisticated structuring and risk analysis for a broader range of asset classes