BNY Mellon Enhances Reporting Capabilities for Derivatives, Fair Value

BNY Mellon Asset Servicing has enhanced its Workbench reporting platform to assist institutional clients comply with recent rule changes related to derivatives accounting and disclosure in international markets.

These changes are being driven by updates to Governmental Accounting Standards Board (GASB) Statement No. 53, Accounting and Financial Reporting for Derivative Instruments, and Financial Accounting Standards Board (FASB) Statement No. 161 (Topic 815), Derivatives and Hedging, which have similar requirements for reporting derivative exposure, risk exposure, market value and income related to derivative contracts.

In addition, updates to Financial Accounting Standards Board (FASB) Statement No. 157 (Topic 820), Fair Value Measurement, and FASB Statement No. 132R-1 (Topic 715), Employers’ Disclosures about Postretirement Benefit Plan Assets, and International Financial Reporting Standards (IFRS) 7, Financial Instruments: Disclosures, outline similar roadmaps for reporting fair value levels and level turnover within a portfolio.

BNY Mellon Asset Servicing has made the necessary developments to support clients with these regulatory changes for 2010, including transfers in and out of levels one and two in support of fair value reporting and support of IFRS 7 fair value level disclosure. The enhancements also help clients view derivative contracts across all of their portfolios and accounts in aggregate or individually.

“This goes beyond helping [clients] comply with the new regulations,” said Chris Richmond, managing director of global product accounting for BNY Mellon Asset Servicing. “It assists them in day-to-day reporting and accessing information in their accounts about the underlying securities, transparency of reference data from contracts, counterparty exposure, independent market values provided by a variety of vendors, and performance and risk analytics on these derivative types.”


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