Fair Value Monitor - FVM™
Have you ever discovered that your pricing source did not reflect fair value or that it reflected bid levels that had nothing to do with the fundamentals of the security?
Pricing errors can and do happen, however, in today’s market where orderly transactions occur outside of bid levels used by the pricing vendors, you want to catch these errors before they become material. The question is: are you comfortable relying on others, or do you want to incorporate tools used by sophisticated investors?
Huron’s Fair Value Monitor, is a powerful web-based solution designed to efficiently identify pricing challenges with our customer’s valuation sources. It provides corporations, financial institutions, and investment funds with secured and confidential “market-based” information to assist in valuing securities, including fixed income instruments. FVM helps to quickly find your pricing “comfort zone”, saving time, providing insight, and ultimately protecting your organization. FVM is the first tool of its kind that provides the opportunity to evaluate the valuations of securities on a transparent, yet secure and confidential basis.
Data sourced from this tool can be used to compare the reasonableness of valuations obtained from broker quotes, pricing services or valuation models. Subscribers can see their valuations statistically compared to other subscribers based on direct and dollar-weighted benchmarks.
Features include:
- Easy to use dashboards and visuals
- Subscriber customization
- Easy upload of security and portfolio pricing information
- Reliable customer service
Increased scrutiny has also pressured many organizations to perform more relevant due diligence and improve their price challenge process when valuing assets. Simply using a pricing source that collects bid lists or employs matrix tables does not allow organizations to know whether there is a valuation problem or more importantly a cash flow problem. In today’s market where many securities have experienced significant declines, transparency is no longer an option but rather a requirement.
Make the decision to be a part of the FVM community.
Click here to learn more about Fair Value Monitor–FVM.