The GoldenSource Independent Price Verification (IPV) solution offers a unique pricing preference and vendor hierarchy framework. This enables capital market organizations to accurately meet their regulatory, management and audit requirements for independent price verification.Talk to a regulatory expert
Independent price verification is the process of comparing internal prices and parameters used to mark positions to obtain position valuations to a corresponding set of independently verifiable external prices and parameters. It requires capital market organizations to access multiple evaluated price feeds from various external sources in order to analyze, compare and determine their own price. Price validation is also needed to ensure that any prices arriving through a data vendor, broker, or evaluated pricing supplier are reasonable and complete. IPV substantiates the valuation of trading assets and liabilities on the balance sheet.
Prudent valuation (PruVal) is the requirement to calculate additional value adjustments (AVA) for infrequently traded financial instruments valued at fair value. The Capital Requirements Regulation (CRR 2013) requires that banks reflect the impact of the prudent valuation adjustments in their common equity tier 1 capital, helping to ensure solvency. Common management of all risk and finance data that feeds IPV and prudent valuation calculations and adjustments also makes stress tests easier to manage.
External regulatory bodies and internal management are driving greater transparency in every capital market organization’s approach to valuing the assets and liabilities on its balance sheet. For example, the International Financial Reporting Standards (IFRS) for accounting have placed tougher requirements on how complex derivatives are valued while EMIR, Solvency II, and Dodd-Frank provisions are all putting transparency at the heart of the valuation process.
The GoldenSource Independent Price Verification (IPV) solution offers a unique pricing preference and vendor hierarchy framework that enables capital market organizations to meet their regulatory, management, and audit requirements for independent price verification.
The solution combines the industry-leading Data Model and maintained Connections with client-configurable price validation rules, to provide a single point of control and a source of clean, validated prices for the front, middle, and back office.
Define pricing preferences and policy
Access pricing information from multiple sources
Check price sources for data quality
Validate pricing, compare multiple sources, and measure “market consensus” around pricing
Ensure that preferred prices are distributed to mission critical systems across the enterprise
Connections & Adaptors is a robust, preconfigured adaptor that loads vendor data into GoldenSource's EDM GoldenSource Security Master or Client Onboarding applications. Our Connections are ready to receive and process your vendor feeds immediately upon installation, no mapping required. Read more...
GoldenSource Customer Master module acts as a global entity master linking customers and counterparties, along with employees, branches, contacts, addresses, accounts and products. Read more...
Advanced, flexible tools for the extraction and verification of market data. The Risk Master Module provides full audit functionality through a fully configurable workflow process. Read more...
Standardize content from multiple external sources with maintained, off-the-shelf connections to leading financial data vendors such as Bloomberg, Thomson Reuters, Interactive Data and many more. Read more...