Validations for depositary banks
What challenge/ problem did the client come with?
For custodian banks, which are recipients of a range of valuation models and take on the responsibility for their correctness, we perform validations of such models.
What actions have we proposed and carried out?
We verify the correctness of the adopted methodology and parameters as well as the accuracy of market data in these models. For company valuation models, we also check these in excel sheets to eliminate the possibility of calculation errors. For valuations of debt instruments and derivatives we often make recalculations in order to determine the value in accordance with our methodologies and parameters.
