When running the strategy optimisation step, it is possible that the optimisation problem is not feasible. This occurs when an adviser has forced a number of competing objectives that can’t be achieved simultaneously, and the adviser has enforced each objective as a constraint as opposed to a variable (see objective assumptions).
In this scenario, the engine will create a bad debt interest account to allow the engine to process the specified objectives within the model. The bad debt effectively acts as a credit card to fund lifestyle expenses. A high penalty rate is assumed, therefore bad debt will only be triggered when there is a feasibility issue.
Note: The bad debt account will be turned off if we are allowing objectives to be a variable within the optimisation problem.
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