Derivative valuations
Reval provides daily independent market data for 500 different curves across major asset classes and provides pricing for a wide range of instruments in each asset class:
- Interest Rates Click here >>
- Structured Rates Click here >>
- Foreign Exchange Click here >>
- Energy Click here >>
- Agricultural Click here >>
- Metal Click here >>
- Credit Click here >>
- Equities Click here >>
Hedge Accounting
Reval offers specialized expertise that addresses the complex accounting issues associated with derivatives as they relate to major accounting standards such as FAS 133, FAS 157, FAS 161, CICA 3865, IAS 39, and IFRS 7. Our basic approach furnishes bank clients with the ability to:
- Define both the hedged and hedging instruments.
- Link the hedging instrument with the corresponding hedged item by hedge designation.
- Designate the risk(s) being hedged, assessment method, and all accounting events associated with the hedge.
- Prepare contemporaneous documentation required by auditors to record the hedging relationship, objective, and the strategy for undertaking the hedge.
- Perform the assessment and measurement of effectiveness each reporting period.
- Generate reports measuring the ongoing effectiveness of the hedge.
- Generate proper accounting entries throughout the entire derivative life cycle.
Use Reval to perform advanced regression analysis.
Clients can also use Reval's interest rate, foreign exchange, and commodity market data published daily to perform regression to help improve hedge effectiveness assessments and avoid "small change" effects that are common when using the dollar-offset method. Avoid the risk of restatement from auditors who disapprove the use of short-cut or critical terms match for effectiveness testing. Using Reval results in an improved ability to assess and measure retrospective hedge effectiveness over the hedge's life, resolve the issue of basis risk, and satisfy your auditors.
Learn more about Reval's solutions for financial institutions.
We recognize each financial institution has different needs. Some hedge many asset classes, others only one. Some need online documentation and reporting. Others need a full sub-ledger. So we have designed our SaaS Web-based platform using a modular structure that allows clients to configure our application to best suit their needs.
To learn more about Reval’s solutions for financial institutions, have a Reval Solutions Consultant contact you >>
