Standard & Poor’s Securities Services and IVRS, a subsidiary of Lombard Risk Management, have reached an agreement by which each party’s clients will have access to a broader range of independent valuations for hard-to-value, illiquid and complex financial instruments.
This agreement will initially enable S & P to provide its full universe of valuations to IVRS and then to distribute IVRS’s. Each party will be able to offer the other’s valuations through their own services automatically, broadening the range of securities that both firms can cover.
S & P, which is already active in pricing hard-to-value securities, has access to 2.8 million bonds, including extended coverage of high yield bonds and complex structured products, including such illiquid securities as CDs, interest rate swaps, credit default swaps, CDOs, CLOs and European structured finance bonds.
IVRS provides model-based valuations services for over two years. IVRS was one of the earliest firms to provide quality valuation capabilities for credit derivatives.