Commodity trading compliance software
Triple Point Technology, working in cross-industry commodity and energy trading, risk management, scheduling and logistics software solutions, has launched Commodity XL for Fair Value Disclosure, the second product in its Treasury Management and Regulatory Compliance solution suite.More than 60 leading energy and commodity industry leaders throughout North America and Europe including Scottish Power, Campbell Soup Company, PacificCorp, TransAlta, TransCanada, SUEZ Energy, Southern Company, Ameren Energy,(Pennsylvania Power & Light) and J.M. Smucker Company, use Commodity XL for Fair Value Disclosure and Commodity XL for Hedge Accounting based on mature, well-tested software solutions that the Triple Point obtained in its acquisition of INSSINC.
Commodity XL for Fair Value Disclosure is a comprehensive module for FAS 157 and IFRS 7 compliance and is fully integrated with Triple Point’s advanced commodity trading platform.
“FAS 157 came into effect in 4Q last year and requires public companies to classify commodity derivatives into three levels, disclosing the quality of the fair market measures; starting with observable traded market price inputs and proceeding to unobservable inputs and Black box methodologies.
"The fundamental change FAS 157 introduces is that the mark-to-model techniques and measures of hard to value assets must be transparent to stakeholders and that all market values be discounted by credit risk,” said Elie Zabal, Triple Point’s senior VP of treasury management and regulatory compliance solutions.
“Commodity XL for Fair Value Disclosure provides real-time, integrated tools to measure and manage fair value level setting; it meets strict disclosure requirements and provides financial statement transparency required for regulator and shareholder confidence.”
Commodity XL for Fair Value Disclosure has extensive functionality for FAS 157 and IFRS 7 compliance. It provides robust tools to define, measure and manage fair value levels. Commodity It employs a consistent, rules-based framework for calculating fair value, discounting by credit risk and assigning levels. In addition, the solution delivers on-going, in-depth month-to-month analysis of fair value levels and transitions from one level to another.
“Organizations that fail to produce consistent and transparent disclosures of all three fair
value levels required by FAS 157, run the risk that regulators, investors, counterparties
and stakeholders will lose faith in reported financials,” says Mike Ravo, Triple Point’s
VP of industry solutions. “By deploying Commodity XL for Fair Value Disclosure, organizations ensure all level assignments and mark-to-model valuations use consistent and auditable methods.”
Commodity XL for Fair Value Disclosure is the second product released in the Triple Point Treasury Management and Regulatory Compliance solution suite. Commodity XL for Hedge Accounting, the first product announced, is a dynamic software hedge accounting engine that supports FAS 133 and IAS 39 compliance, enabling firms to balance between optimal economic benefit, risk management and stable financial statements.
It is an advanced and effective solution to profitably account for hedging and risk management activities. From market pricing and effectiveness testing to documentation and flexible report generation, the Triple Point solution enables organisations to comply with FAS 133, IAS 39, SAS 133, CICA 3865 and AASB 139 hedge accounting standards.
Web: http://www.tpt.com/