In recent years, the use of financial instruments have become more widespread, and so has the diversity of such instruments. Therefore, the need for advanced valuation solutions has intensified.
We help establish appropriate techniques and methodologies into the valuation process, considering the complex features of each distinct financial instrument. Our valuation solutions are fully supported by a detailed narrative report suitable for review by independent auditors, the Securities and Exchange Commission, and the Internal Revenue Service.
Stocks and Derivatives
- Swap contracts
- Forward contracts
- Warrants and options
- Convertible notes and bonds
Accounting Regulations IFRS 9 and ASC 825
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is an exit price, which may differ from the transaction (entry) price.
We value the above for various purposes, including:
- Financial reporting under:
- ASC 718 (formerly SFAS 123R) – Share-based Payment
- FASB ASC 825 – Financial Instruments
- IFRS 2 – Share-based Payment
- IFRS 7 – Financial Instruments: Disclosures
- IFRS 9 – Financial Instruments
- Gift and estate tax valuations
- Other tax-related purposes
Convertible Notes and Cost of Debt
It is also required by IFRS and US GAAP, to assess the fair value of the implied cost of debt of various debt instruments, including liabilities to the Chief Scientist.