Evaluated Pricing - SIX Financial Information

Evaluated Pricing
For clear-cut transparency and independence.

SIX Telekurs’ Evaluated Pricing consists of
evaluations produced using our own capabilities
supplemented by prices from third party
providers. Our proprietary service offers highly
transparent valuations for a wide range of fixed
income securities and derivatives, as well as for
complex or otherwise hard-to-price securities,
and supports you in adhering to regulatory and
operational standards.
Publishing details: Evaluated Pricing – Precision, transparency and independence. © 2010, SIX Telekurs Ltd, Zurich. Produced by: Marketing Communications
This brochure is not legally binding and is provided solely for information purposes.

Evaluated Pricing
Why Evaluated Prices?
SIX Telekurs’ Evaluated Pricing is a solution to the
shortcomings of other price sources, providing prices
which are independent, transparent, consistent, reliable
and comprehensively documented and supported.
These prices are derived using a patented methodology
at the cutting edge of modern financial theory.
Financial institutions face numerous regulatory challenges
which are likely to intensify in the coming years.
In particular, consistent valuation is explicitly outlined
in the latest International Financial Reporting Standards.
These standards require the majority of financial
instruments to be valued at “fair value” or marked-tomarket.
Whenever active market prices are unavailable,
a firm must use a reliable valuation method, making
maximum use of observable, current market inputs
and relying as little as possible on internal estimates
or counterparty prices.
For a large number of asset classes – especially OTC
fixed income and derivative instruments – reliable and
up-to-date ‘market’ prices are simply not readily available.
Many of these instruments do not trade on a
regular basis, if at all, and even if they do, the trades
are rarely reported in a timely and consistent manner.
In these situations an evaluated price is frequently used
to ensure compliance with accounting and other regulatory
or operational requirements.

Evaluated Pricing
SIX Telekurs’ Evaluated Pricing
SIX Telekurs’ Evaluated Pricing helps you to comply
with the requirements specified by the accounting
regulatory bodies and to satisfy your own audit and
‘sound practice’ valuation requirements. The service
is based on information available in SIX Telekurs’ Valordata
Feed (VDF) which is made up of structured and
encoded data on over 6 million financial instruments.
In addition to Evaluated Pricing, our extensive coverage
of reference data and market price sources allows
clients to achieve a ‘one-stop shop’ for their wider data
needs. These are available via a variety of SIX Telekurs
products including VDF and the Intraday Pricing Service
(IPS).
The Evaluated Pricing service provides valuations for
a broad selection of fixed income instruments and
derivatives. Instruments covered include:
– Government and investment grade corporate
bonds
– Zero coupon bonds
– Floating rate notes
– Money market instruments
– Bonds with embedded options
– Mortgage and Asset-Backed Securities
– Auction-rate securities
– Investment-grade and high-yield corporate
debentures
– Private placements
– Structured products
– OTC derivatives
Additional instrument types are being added to our
service all the time in response to client demand. For
example, we have pioneered the evaluation of ‘green’
securities as a growing investment class.
Our Evaluated Pricing service systematically covers
bonds denominated in a wide range of currencies,
including:
EUR = Euro
CHF = Swiss Franc
USD = US Dollar
GBP = Sterling
JPY = Yen
AUD = Australian Dollar
NZD = New Zealand Dollar
CAD = Canadian Dollar
DKK = Danish Krone
NOK = Norwegian Krone
SEK = Swedish Krone
ZAR = South African Rand
MYR = Malaysian Ringgit
We are continually adding new currencies to this
list. We have the ability to price instruments across
virtually any other currency on request.

Evaluated Pricing
Third Party Sources
SIX Telekurs’ Evaluated Pricing aims to provide extensive,
tailored coverage for a broad range of securities
and derivatives. However, we recognise that clients
will sometimes want to see pricing from other providers
for the purposes of operational and regulatory
requirements.
The Evaluated Pricing service provides valuations for a broad selection of fixed income instruments and derivatives.
To this end we have formed long­standing partnerships
with other providers of evaluated pricing and prices,
and make these available in our products. The availability
of a wide range of sources on a single data feed
allows clients to obtain all of their required data from
a single vendor.

Evaluated Pricing
Key Service Benefits
Our Evaluated Pricing is supported by experts with
many years of experience in providing customers with
evaluations and reviews of the surrounding regulatory
environment.
These Evaluated Pricing Consultants are based in all
the major financial centres around the world and will
help you understand the details of our service and help
you choose how our service best fits your needs. In
the case that you want to challenge a price or want to
understand the financial model and particular inputs
or assumptions that lie behind a certain evaluation, we
provide access to our evaluators via our global service
desks.
– Independence: Inputs and outputs independent
of client assumptions or estimates.
– Transparency: Comprehensive technical
documentation and background data.
– Consistency: Evaluations based on standard
procedures delivered in a consistent fashion.
– Methodology: Transparent, patented valuation
methods with maximum consideration of
market inputs.
– Support: Local support in the local language,
incorporating local market requirements.

Evaluated Pricing
Who Should Use Our Service?
SIX Telekurs’ Evaluated Pricing is beneficial to anyone
who requires a regularly and consistently updated
valuation of their financial instruments from an independent
source. It is particularly suitable for use in
‘mark-to-market’ and ‘fair value’ applications.
In addition to regulatory compliance, the service is useful
in a large number of other operational functions
such as:
– Product control
– Collateral management
– Fund accounting
– Risk management
– Capital and margin calculations
– Client reporting
Our sales specialists would be pleased to discuss this
service further with you. We look forward to being
your trusted and reliable partner for all your evaluated
pricing needs.

Head Office Switzerland
SIX Telekurs Ltd
T +41 44 279 51 11
www.six-telekurs.com
International Offices
Austria
T + 43 1 532 45 71 0
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T +32 2 7900 500
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T +1 416 915 4121
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T +45 33 41 11 11
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Ireland
T +44 20 7550 5000
Finland
T +358 207 33 40 43
France
T +33 1 53 00 01 00
Germany
T +49 69 717 00 0
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T +852 29 71 03 88
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T +353 1 213 0722
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T +39 02 76 45 631
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T +81 3 3808 2271
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T +352 261 161
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T +377 97 97 71 61
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T +212 522 27 64 10
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T +47 23 32 66 20
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T +44 131 718 6006
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T +65 6338 3808
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T +34 91 577 55 00
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T +46 8 58 61 6300
USA
T +1 203 353 8100
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