Discounted Cashflow Valuation (DCV) Service for Structured Finance

The DCV service leverages Moodys experience in CDO modeling, analytic tools from Moodys Wall Street Analytics and Moodys extensive structured finance monitoring databases and waterfall libraries to deliver an independent determination of the DCV of CDO securities. This allows subscribers to compare the value of their securities to trading values and to calculate volatility. DCV information is particularly helpful under difficult market conditions or in markets with little trading activity.

At the outset the DCV Service will support U.S. CLOs and corporate CBOs, but will soon be expanded to cover RMBS and ABS CDOs. Over time, Moody’s will deliver services that incorporate a broader range of valuation information to extend the service beyond DCVs to support a range of valuation needs including mark-to-model and mark-to-market.

Clients can subscribe to a standard or a custom DCV service:

Moody’s assumptions are used to generate cash flows that are discounted to arrive at a Moody’s NPV for structured securities

Client’s assumptions are applied to Moody’s Models for any type of CDO. Clients receive custom model generated values as well as the values based on Moody’s assumptions to support their valuation activities.

Both services are available for customized client portfolios or as a bulk feed of Moody’s or clients deals.

For more information on the Discounted Cashflow Valuation (DCV) Service for Structured Finance please view Moody's Credit Values White Paper.

To view a sample DCV file please click here.

DCV is a part of Moody's Credit Values suite of products