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Estimation of Market Interest Rate for Guarantees for Transfer Pricing  and Other Purposes

Our tool simplifies gurantee market interest rate assessment with a detailed and highly automated process. It offers a straightforward way to calculate applicable guarantee market interest rate ranges by combining your inputs with CFO.tools’ pre-built models and statistical analyses of corporate bond yields:

The tool streamlines guarantee market interest rate estimation through a detailed yet materially automated process. It offers a straightforward way to calculate guarantee market interest rates, leveraging your inputs with pre-prepared models and data from CFO.tools:

User inputs cover borrower data (e.g., sector of activity, credit rating) and instrument details (e.g., amounts, tenure). If you’re missing information like a credit rating, our team can assist with complementary analyses.
CFO.tools’ statistical models automatically assess a market interest rate range under the two main approaches used in practice (yield approach and cost approach), factoring in key loan terms. These models are built on historical market data, including government yields and corporate bonds, detailed by sector, rating and other key terms.
The Yield Approach relies on automated models with credit spreads and applicable yield curve rates for all major currencies.
The Cost Approach utilizes assessments of Expected Credit Losses, similar to the General Approach of IFRS 9.
The tool is designed in compliance with OECD Transfer Pricing Guidance on Financial Transactions.

The methodology and the approach of the tool have been consulted with IFRS experts from a leading audit firm.

Advantages:

Relies on robust, market-based data, updated regularly
Allows for the use of the Yield Approach and the Cost Approach
Provides automated data inputs that effectively capture credit risk and other critical risk factors
Allows for multi-period analyses with a single data entry

Offers detailed assessment methods with flexible adjustment options to reflect instrument specifics
Designed in compliance with OECD Transfer Pricing Guidance
Proven in practice across various EU jurisdictions
Allows for re-use of data across different tools and purposes (e.g. IFRS 9)

Are you ready to harness the power of this tool and streamline your financial processes, ensuring compliance and driving better, more informed business decisions?

Estimation of Market Interest Rate for Guarantees for Transfer Pricing  and Other Purposes

The tool streamlines guarantee market interest rate estimation through a detailed yet materially automated process. It offers a straightforward way to calculate guarantee market interest rates, leveraging your inputs with pre-prepared models and data from CFO.tools:

Advantages:

Are you ready to harness the power of this tool and streamline your financial processes, ensuring compliance and driving better, more informed business decisions?

Streamline Your Finance

Get in touch

Quick links

Estimation of Market Interest Rate for Guarantees for Transfer Pricing and Other Purposes

The tool streamlines guarantee market interest rate estimation through a detailed yet materially automated process. It offers a straightforward way to calculate guarantee market interest rates, leveraging your inputs with pre-prepared models and data from CFO.tools:

Advantages:

Are you ready to harness the power of this tool and streamline your financial processes, ensuring compliance and driving better, more informed business decisions?

Streamline Your Finance

Get in touch

Quick links

Estimation of Market Interest Rate for Guarantees for Transfer Pricing  and Other Purposes