25 February 2009
OTC Valuations Limited (OTC Val), a leading provider of independent valuation and transparency reports for structured products and OTC derivatives, is pleased to announce it has further increased its valuation capabilities of illiquid securities, outlined below.VALUATION REQUIREMENTS
Many mortgage‐backed securities, commercial paper, corporate debt, collateralized debt obligations, and other asset‐backed products have attained illiquid status. Holders can no longer rely on broker quotes because the quotes have become stale, or otherwise fail to satisfy the level of price transparency required for financial and risk reporting purposes. OTC Val addresses these data issues through its transparent valuation service that is based on proven fair value estimation and model‐based techniques. Current clients use the service to satisfy audit and internal risk compliance requirements for securities with no direct market observable prices.
METHODOLOGY OVERVIEW
Market participants are increasingly concerned about the assumptions and data behind a product’s ... more »
