Financial instruments play a central role in modern finance and investment strategies. Whether in the form of equity shares, debt securities, derivatives, or hybrid instruments, accurate valuation is critical for execution, transparency, compliance, and informed decision-making.
At CompaniesNext, we provide independent, expert valuation services for a wide range of financial instruments—applying globally recognized methodologies, advanced modelling techniques, and deep regulatory insight.
Financial instruments are monetary contracts that can be traded, transferred, settled, or restructured. In basic terms, financial instruments are securities that can be traded or exchanged to facilitate the financial transactions. These include:
Cash Instruments – such as equity shares, bonds, and deposits
Derivative Instruments – including options, futures, forwards and swaps
Hybrid Instruments – like convertible bonds, preference shares with embedded options
Foreign Exchange Instruments
Valuation is often required for determining intrinsic value, financial reporting, tax compliance, regulatory filings, transactions, or internal decision-making.
We help clients value a full spectrum of financial instruments:
Valuing equity shares (listed and unlisted)
Fixed income instruments like bonds, debentures etc (NCDs, OCDs, FCDs)
Complex securities like options, futures and structured products
Hybrid Instruments Valuation (Convertible Securities, Preference Shares)
Financial Liabilities Valuation
Valuation of Credit Derivatives (e.g., Credit Default Swaps)
Valuation of Embedded Derivatives
Valuation of Corporate Guarantees
Valuation for Fair Value Reporting under IND AS 109 / IFRS 9
Valuation may be required for:
Financial Reporting (e.g., IND AS / IFRS fair value disclosure)
Taxation and Transfer Pricing
Mergers, Acquisitions, or Fundraising Transactions
ESOP or Employee Compensation Plans
Regulatory Reporting (SEBI, RBI, Income Tax, FEMA)
Risk Assessment and Scenario Planning
Our Valuation uses globally recognised methods for performing the valuations, including:
Black-Scholes Model – for standard option pricing
Binomial Lattice Models – for instruments with early exercise features
Monte Carlo Simulations – for complex derivatives tied to performance or market variables
Backsolve Method – to infer the value of common stock using recent preferred share transactions
Discounted Cash Flow Models and Yield Curve Analysis – for bonds and liabilities
FIMMDA Guidelines – for debt valuation as per market norms
Our team ensures that each instrument is valued appropriately, factoring in market conditions, contractual terms, risk profiles, and relevant regulatory frameworks.
Deep experience in complex instrument valuation
Advanced modeling expertise using tools like Excel, Python, and financial modeling software
Strong understanding of IND AS, IFRS, and Indian regulatory frameworks
Independent and defensible valuation reports
Practical insights tailored to the needs of promoters, investors, CFOs, and compliance teams
📩 Talk to our valuation experts today to assess the fair value of your financial instruments with accuracy, integrity, and confidence.
1. What sort of monetary instruments do you value?
We value stocks, bonds, mutual funds, options, futures, swaps, structured products and other derivatives.
2. How do you value derivatives?
Via quantitative models – for instance, Black-Scholes, binomial trees and Monte Carlo simulations that are reflective of the market and/or the contract.
3. How long does it take to value the company?
Usually 3 - 6 weeks, depending on the complexity of the instrument and the availability of the data.
4. Do your valuations conform to accounting standards?
Yes, all reports are within the scope of IFRS 13, GAAP and other applicable fair value measurement standards.
5. Can you value illiquid or esoteric instruments?
Yes, our speciality is valuing ‘hard to price’ instruments with the help of sophisticated modelling techniques.
6. How do you ensure confidentiality?
We sign NDAs and are subject to a strict data security process to keep client data safe.
7. Do valuations help manage risk?
Certainly, realistic valuation is important to quantify market and credit risks for more-informed decisions.
8. Do you do work on a recurring basis?
Yes, we do perform Regular and Other Adhoc Valuation services based on the client need.
9. Would values be permissible for tax and regulatory reporting?
Yes, we are compliant and support tax filing and other regulatory requirements.
10. How do you account for market value volatility in valuations?
We integrate volatility estimations and scenario analysis to strengthen our valuation results.
