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ChathamDirect June product update

Date:
June 21, 2021

Summary

To deliver on the advantages clients gain from our seamless integration of advisory, operations, and technology, the ChathamDirect team continually enhances our platform, streamlining the way users manage their exposures, hedging policies, execution, valuations, and hedge accounting.

Interest rate web loader

Now you can enter fully executed interest rate transactions quickly and easily in ChathamDirect through our new web-based IR Web Loader. This five-step workflow guides you through building a trade, saving you time and embedding best practices into your process. Once loaded, you can view these historically loaded trades on the web for convenience and easy access. Currently supported transaction types include fixed-for-floating swaps, floating-for-fixed swaps, and swaps with embedded floors.


Enhanced management reporting with integrated market data

Based on feedback from our clients, we continue to expand our enhanced management reporting and business intelligence capabilities. ChathamDirect now enables you to incorporate currency market data into your portfolio to:

  • Identify trends
  • Explain variances
  • Estimate your cost of hedging

We continually aim to enhance your ability to make informed hedging decisions based on currency volatility, historical movements, and forward rates.


Custom rate for cross-currency swap payment calculations

ChathamDirect now enables you choose the specific rate type on the Custom FX rates page when you make cross-currency swap payment calculations for the cash amount in journal entries. You can elect to apply your custom valuation rate as before or choose to apply your own unique cross-currency swap rate by adding a new rate type.

Looking ahead

We continually engage with you to learn your strategic objectives and day-to-day processes so we can focus our development efforts on the highest potential impact. That means you will continue to see enhanced functionality, tighter integration, and improved performance across our platform. Some enhancements we're working on include:

  • Improving the user experience for back-to-back trades and enhancing trade-matching functionality
  • Enhancing accounting capabilities around hypothetical derivatives for interest rate swaps and swaps with floors
  • Adjusting our effectiveness test service to improve the client experience with accounting results when loading new trades
  • Enhancing our interest rate trade loading capabilities to enable the application of inception accounting during the trade creation process

Transform treasury with automation and insight

Whether fueled by the need for actionable data, the mandate to leverage a lean workforce, or the realities of a work-from-home environment, the steady movement toward treasury automation continued to accelerate in the first half of 2021. We saw clients integrate and automate their financial risk management programs from gathering exposures through hedge accounting, streamlining FX balance sheet, FX cash flow, interest rate hedging, commodity hedging, and hedge accounting programs. ChathamDirect can help your treasury team streamline workflows, strategically employing technology, and utilizing enhanced management reporting to improve controls, lower costs, and enable data-driven decision making.

(Related insight: Read “Achieving automation and efficiency in treasury” and learn how Brunswick Corporation saved 35 hours a month by streamlining its financial risk management program)

About ChathamDirect

ChathamDirect is a groundbreaking financial risk management and hedge accounting platform that supports foreign exchange, interest rate, and commodity hedging programs. ChathamDirect provides a clear view of your entire hedging program, including cash flow forecasts, balance sheet exposures, and hedge requests — all securely available on a leading SaaS platform. ChathamDirect is backed by Chatham Financial, an employee-owned, independent market leader with a global team of capital markets experts, risk management advisors, CPAs, lawyers, quantitative analysts, and technology developers who serve more than 3,000 clients annually.

Hear what clients are saying >>


Schedule a demo

If financial risk management is a meaningful part of your treasury program, we should talk. Contact us now to schedule a demo of ChathamDirect.


Disclaimers

Chatham Hedging Advisors, LLC (CHA) is a subsidiary of Chatham Financial Corp. and provides hedge advisory, accounting and execution services related to swap transactions in the United States. CHA is registered with the Commodity Futures Trading Commission (CFTC) as a commodity trading advisor and is a member of the National Futures Association (NFA); however, neither the CFTC nor the NFA have passed upon the merits of participating in any advisory services offered by CHA. For further information, please visit chathamfinancial.com/legal-notices.

Transactions in over-the-counter derivatives (or “swaps”) have significant risks, including, but not limited to, substantial risk of loss. You should consult your own business, legal, tax and accounting advisers with respect to proposed swap transaction and you should refrain from entering into any swap transaction unless you have fully understood the terms and risks of the transaction, including the extent of your potential risk of loss. This material has been prepared by a sales or trading employee or agent of Chatham Hedging Advisors and could be deemed a solicitation for entering into a derivatives transaction. This material is not a research report prepared by Chatham Hedging Advisors. If you are not an experienced user of the derivatives markets, capable of making independent trading decisions, then you should not rely solely on this communication in making trading decisions. All rights reserved.

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