A large French bank has selected Pricing Partner’s online platform Price-it online to double value its interest rate, equity, credit and inflation derivative products. This bank, which wished to remain anonymous, decided to innovate in terms of transparency and proximity with its clients by offering access to an independent valuation on its OTC derivative products.
After an assessment of the available solutions, it selected Price-it online, Pricing Partner’s online platform, for the reliability of its valuations and the range of covered assets. The interest rate division of the bank was already a Pricing Partners’ client and the bank extended Pricing Partners’ scope to do independent valuation on its equity derivatives.
In the current period, transparency and financial responsibility has become a major concern. Recently, the American Justice Department’s antitrust division has started investigating the supposed lack of transparency of the US$26 trillion credit default swaps market and the alleged privileged access of some financial institutions to some critical pricing information. By providing independent valuation on derivatives, this bank makes a big step towards full transparency.