Canada Investment and Savings Selects Reval For Derivative Valuations
Canada Investment and Savings, an operating agency of the Department of Finance Canada, has selected Reval Center to price the embedded option of its retail note programs. Reval Center is a service bureau that performs independent derivative valuations on an outsourced basis. It receives the transaction data electronically or via fax or mail and then provides a valuation report. Reval Center is geared towards institutions that hedge risk exposures using derivatives for liability management or investment management, as well as for banks and hedge funds that trade in derivatives and are required to have independent valuations. Institutions who fall under the Sarbanes-Oxley Act, the Basel II capital framework, or who need to comply with hedge accounting rules like FAS 133 and IAS 39, should have valuations separate from or in conjunction with valuations they receive from their derivative dealers.