Mark-to-market valuation
Ongoing swap values, exposures, and collateral monitoring.
Service · Hedge accounting & valuation
A hedge that is not documented and tested correctly can cost you the accounting treatment you were counting on. Evercrest handles ongoing mark-to-market valuation and the designation, documentation, and effectiveness testing under GASB 53 and 72 and ASC 815 and 820, in a form your auditors accept.
Overview
Hedge accounting is where good trades go wrong on the financial statements. We set it up correctly from the start: document the hedge relationship, designate it, and perform the effectiveness testing your standard requires, whether that is GASB 53 and 72 for governmental issuers or ASC 815 and 820 for corporates and nonprofits. We deliver the testing in the format the major audit firms expect, on your reporting schedule, so the treatment holds and the audit goes smoothly. We can also clean up legacy positions whose documentation never kept pace. Alongside the accounting, we provide ongoing mark-to-market valuation and risk reporting, typically delivered monthly, covering swap values, counterparty exposures, and collateral posting.
What's included
Ongoing swap values, exposures, and collateral monitoring.
Set up the hedge relationship correctly.
For governmental issuers.
For corporates and 501(c)(3) nonprofits.
Formats the major firms recognize, on your schedule.
Let's talk.