Fair Value Disclosures
InstaNext provides the tools and framework to define, measure, and manage fair value levels to comply with ASC 820 (formerly FAS 157) disclosure requirements issued by the Financial Accounting Standards Board. While the concepts of these fair value disclosures are simple, proper implementation could not be more complex. Companies require a solution that provides tight collaboration among market, credit risk, and derivative valuation processes.
With its robust infrastructure, the InstaNext platform makes it easy to comply with the complex reporting requirements that come along with ASC 820.
- Captures Fair Value Level by trade
- Customizable Level 3 Fair Value Roll Forward Disclosure
- Calculates Credit Value Adjustment for both Assets and Liabilities based on Counterparty credit ratings.
- Provides Netting by various methods: Counterparty, Asset Class, Netting Agreement, or by Trade.
- Calculates and categorizes the unrealized valuation by levels and hierarchy
- Categorizes the Fair Value measurements by separate quantitative disclosures by Assets/Liabilities short or long terms.
- Provides historical views of Fair Value measurements grouped, filtered and segregated results with the inclusion of Credit Value Adjustments, levels & Nettings.
- Tracks Mark to Market transitions from one level to another
- Meets all reporting requirements for ASC 820 (FAS 157)
- Produces realized gains and losses by levels and hierarchy
Derivative Disclosure (Balance Sheet & Income Statement)
ASC 815-10-50 ( formerly FAS 161) requires enhanced disclosures about derivative contracts and hedging activities to improve transparency, allowing investors to better understand their effects on an entity’s financial position.
The InstaNext platform makes it easy to comply with accounting regulations ASC 815-10-50 ( FAS 161) without using complex spreadsheets or manual processes. With InstaNext, processes that used to be extremely time consuming and arduous, are streamlined and reduced to the click of a button.
- Classify derivatives by type
- Capture realized and unrealized gains by derivative type
- Review Gross or Net Asset/Liabilities in the same view
- Produces Financial disclosures for derivative groups
- Meets reporting requirements for ASC 815-10 (FAS 161)
InstaNext Commodity Trading and Risk Management (CTRM) software is available as a cloud-hosted solution and can also be installed on site. The commodity management solution is widely used across the energy industry and supports all types of trades including forwards, futures, over-the-counter (OTC), swaps, foreign exchange, and options.