A Modern Consensus Network
for Independent Price Valuation (IPV)
Through ClearConsensus™, Parameta Solutions and PeerNova are providing a transparent, high-fidelity consensus network that powers today’s data-driven financial firms.
The solution addresses data quality throughout the consensus process, provides richer consensus price calculation using Parameta Solutions’ Evaluated Price (EvP), and provides a robust and timely challenge process which further enriches the consensus outcome. This ensures that participants receive a reliable consensus result that mitigates risk and optimizes capital allocation.
High-fidelity Transparent Consensus for Better Position Justification
The consensus methodology, governance, and policies are evident to all participants. This degree of transparency helps IPV professionals gain confidence in the valuation of positions.
Richer Consensus Using Evaluated Price (EvP)
Parameta Solutions’ Evaluated Pricing helps enhance the consensus price outcomes as dealer submissions are directly compared against an independent and observable market data source. The EvP data combines real-time indicative pricing from two leading sources with trades and orders sourced from the world’s largest OTC market intermediary.
Automated Challenge Process Further Enriching Consensus Results
The automated challenge process and resolution results in an additional consensus report published to all participants in a timely manner. This participant-provided additional evidence, as per defined policies, results in further enrichment of the consensus.
Insightful Statistics, Time-Series Analytics, and Participant Trends
Comparative and time-series analytics and reporting help confidently guide strategy and decision-making for independent pricing valuation. Insights can also establish historical trends and help align outcomes with goals.
Extensible Consensus Methodology with Transparency to Ensure Auditability
The solution provides multiple consensus methods and reporting capabilities as business and regulatory needs evolve. To support valuation decisions, additional consensus methods and results are needed to provide more information and views of the market. The solution currently offers two consensus methods and results; a traditional consensus enriched by EvP and a post-challenge consensus enriched with observable transaction market activity.
Community-driven Unified Experience with Rule-based Policy Governance
The solution easily integrates with existing workflows and helps unify the entire consensus, challenge, and publishing processes into a coherent experience. Policies are network-driven with a community understanding of processes and changes, to continuously improve operational workflows and consensus results.
ClearConsensus Methodology
Enriched consensus, automated challenge process, and insightful analytics
Insightful Statistics, Time-series Analytics, and Participant Trends
The solution computes both standard and observability statistics, which deliver key insights surrounding the pricing of positions. The analytics help visualize data across all three phases: submission, consensus, and challenge.
Through comparative and time-series analytics, high-quality and timely reports highlight data quality errors, outlier classifications, and EvP data. This can identify participant trends to help align and optimize business strategies, operations, controls, and policies with institutional goals.
Richness and Extensibility
The EvP enriches the consensus price outcomes by incorporating observable and evident market data directly into the consensus computation. It combines real-time indicative market pricing from two leading sources, controlled and enriched by trade, order, and quote data.
Through an extensible and flexible consensus calculation method, the solution can incorporate additional authoritative sources, method changes, and market views or activities for richer and more accurate results. This ensures a more flexible consensus solution that can adapt and evolve, as business needs grow in the future.
