We show our clients the excess additional costs levied on them by banks in the pricing of derivative contracts. We then assist them with negotiating contracts and pricing, and save corporates and State Owned Entities (SOEs) significant amounts of money.
Very few people understand the bank modelling of X-Value Adjustment (XVA) and the derivative pricing process. In South Africa, there are a handful of experts who understand these calculations and they mostly work for the banks. Dr Leon Sanderson, who heads up BIG's Bunengi Derivatives division, is one of the few market experts available to corporates and SOEs to advise them on fair market pricing for derivative instruments.
We unpack historic and current derivative trade data and provide visibility to the pricing and fairness of the process.
We partner with our clients to achieve fair pricing on derivative exposures and then evidence the real savings resulting from our activities.