Building a system to value internally the most complex financial transactions gives Toyota Financial Services (TFS) a position of strength when negotiating with its financial counterparties.

Prior to building its Valuation Center of Excellence, TFS valued simpler financial transactions internally and relied on counterparty valuations for the more complex ones. Executive management and auditors were concerned about the company's valuations, and reporting them in financial statements, stunting its ability to diversify funding and hedging sources to support growth.

"Valuations are a core competency for growth and success, and that ability helps us maintain funding competitiveness, visibility into financial statements and manage our counterparty credit risk," says Vanita Aggarwal, director of treasury risk and analytics at TFS.

Continue Reading for Free

Register and gain access to:

  • Thought leadership on regulatory changes, economic trends, corporate success stories, and tactical solutions for treasurers, CFOs, risk managers, controllers, and other finance professionals
  • Informative weekly newsletter featuring news, analysis, real-world cas studies, and other critical content
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the employee benefits and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.