Standard & Poor's Securities Evaluations, a provider of independent securities evaluations, and SuperDerivatives, which specialises in derivatives pricing, revaluation and risk management solutions, have established an alliance to combine their valuation offerings for fixed-income securities (cash and structured products) and all major over-the-counter and exchange-traded derivative asset classes into a single sales and marketing channel.
The new alliance aims to offer the broadest coverage of asset classes and geographical reach available, combining the technological and market strengths of both companies. It seeks to help market participants manage investment and operational risk and regulatory compliance more easily and effectively across a vast range of securities.
'Our clients increasingly demand more global coverage and depth for their derivatives portfolio valuations,' says Lou Eccleston, an executive managing director at Standard & Poor's. 'In SuperDerivatives we believe we have found the ideal alliance partner to create the most comprehensive and robust global coverage possible from one offering.
'For more than 35 years, Standard & Poor's Securities Evaluations has been a leader in providing daily independent, mark-to-market valuations for market participants of all sectors. Joining forces with SuperDerivatives teams us with a leader in OTC and exchange-traded derivatives valuation to form the largest independent revaluation service in the combined cash and derivative market place.'
The combined offering will draw on both companies' models and market data-based pricing services to provide independent valuations for global instruments, including government, municipal and corporate bonds, syndicated loans, asset- and mortgaged-backed securities and money market instruments. The services will also cover vanilla and exotic OTC derivatives as well as exchange-traded derivatives on major asset classes including foreign exchange, interest rates, commodities, energy, equities and credit.
'This commercial venture between SuperDerivatives and Standard & Poor's Securities Evaluations is aimed at enabling our customers to effectively value the widest range of products in a single offering,' says SuperDerivatives chief executive David Gershon.
'Whether they are from the buy or sell side, our customers will benefit from a one-stop shop experience that aims to deliver the most accurate and reliable valuation service with significant economy of scale advantages. I believe that this alliance will form a new global standard for independent valuation service.'
Standard & Poor's Securities Evaluations, a wholly-owned subsidiary of the McGraw-Hill group, provides independent fixed-income evaluations on nearly three million securities and distributes to its client base pricing data and equity pricing services of unaffiliated firms, including SuperDerivatives.
SuperDerivatives' products and services are used by companies from both the buy- and sell-side. Its real-time pricing platforms are used by banks throughout the world, as well as by corporations, asset managers, hedge funds, auditors and central banks in more than 60 countries. The company also provides risk management systems, an online trading platform, derivatives data and portfolio revaluation services that use its benchmark pricing model and independent global market data network.