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Your requirements |
The regulatory and accounting framework that governs structured products and derivatives has become much more demanding over the last decade. In 2005 accounting standard IAS39 was implemented placing further requirements on those institutions which trade in derivatives, even when their positions are back to back.
As a result, many institutions now have a need for regular, reliable independent valuations on a daily, weekly or monthly frequency. Some institutions also seek stress testing scenarios or sensitivities to different market parameters such as spot levels of the underlying asset(s), interest rates and volatility.
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Our expertise |
FVC has provided regular valuations for over five years to custodians or designated counterparties on a variety of instruments backed by complex options. These are linked to various underlyings and have differing payoff profiles. FVC has the experience and capability to provide valuations for instruments linked to equity indices, funds and CPPI structures, baskets or combinations of individual equity stocks, corporate bonds and credit instruments, interest rates, currencies, property, inflation rates.
FVC understands the issues in order to provide a quality regular valuations service. We believe the key components are data, confidentiality, models, speed of service and support. We strive to stay abreast of the latest market developments and approaches and will always seek to use a model it believes it in the centre of market practice.
We currently provide weekly and monthly valuations on many hundreds of trades to our clients on a variety of instruments backed by complex options.
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Our solution |
FVC independent valuations services have been designed to satisfy a range of requirements for timely and accurate valuations.
We deliver through email updates and access via password to a dedicated account on our website our valuations services on a wide variety of products and underlyings. These services are already currently being used by many major institutions drawn from investment banks and product providers.
We can accommodate different reporting styles to suit you.
We can also extend the level of detail beyond simple asset prices - to include swap and MTN values and sensitivities and stress testing.
Although efficient technology delivery is important our service has at its core an understanding of the products and markets and it is our aim to support our clients requirements and processes. Finally, we believe that each client's need must be assessed separately and seek to deliver the best approach to each portfolio and trade.
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Valuations Introduction
Methodology