Join TPG on Tuesday, June 30, 2020 at 3pm CDT for a Webinar.
TPG Alternative Rate Engine Overview of Bonds linked to the Secured Overnight Financing Rate (SOFR),as recommended by the Federal Reserve
How we help our clients
- TPG solutions include tools for:
- Forward Scenario analysis
- Impact of change from LIBOR based Securities in existing portfolios.
- Real-time analytics calculations for compounded rates for SOFR, SONIA and other ARR as recommended Federal Reserve
- Additional Term Reference Rates lookup tables for Alternative Reference Rates with a term structure.
- Fallback language in user defined fields and attached documentation per position
- Standardized workflow for fallback eventso Bond transition changes audit
Benefits of TPG Alternative Rate Engine:
- Improves interest calculation accuracy and process workflow
- Performs Interest calculations with non-business days and different calendars
- Provides validation for calculations of interest accruals to third party
- Reduces operational costs
- Access to a mathematical formulas and data that are operationally challenging
- Avoids discrepancies in compounding formulas and rounding conventions
- Use of compounded averages provides full data and method transparency
Accounting System Considerations / Settings:
- Number of days for lookback or lockout
- Business Day Conventions
- Interest Payment Date Delay
- Day Count Conventions
- Calendars Used
- Fallbacks for SOFR Audit
- Compounded and Simple Average
- Negative Interest Rates
- In arrears and in advance compounding capabilities
Contact TPG to RSVP.
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