Welcome to Harshul Mangal & Associates – Your Trusted Partner in Valuation and Financial Advisory
Follow Us On:
Linkedin-in
get in touch

Valuation of Financial Products (Financial Instruments)

  • Home
  • Valuation of Financial Products (Financial Instruments)

All Services

Get in Touch

    Valuation of Financial Products (Financial Instruments)

    At Harshul Mangal & Associates, we specialize in valuing a broad spectrum of financial products & instruments—both standard and complex. Whether you represent a corporate, investor, lender, ARC, or regulatory body, accurate and defensible valuation is fundamental to informed decision-making, regulatory compliance, and strategic planning. We combine deep expertise in financial markets, legal/regulatory frameworks, and valuation methodology to deliver reports that stand up to scrutiny, help in transactions, taxation, compliance, investor negotiations, and more.

    Why Harshul Mangal & Associates

    • Multi-disciplinary expertise: finance, legal, regulation.
    • Deep experience with complex and structured instruments.
    • Focus on clarity, defensibility and regulatory compliance.
    • Proven track record with ARCs, NBFCs, corporates, funds.
    • Customisation: reports tailored to context, purpose & stakeholder needs.

    What We Value

    Here are the types of financial products/instruments we cover:
    Equity Shares (Listed & Unlisted)

    Ordinary shares, differential rights shares; minority / majority holdings.

    Preference Shares, Convertible, & Hybrid Instruments

    Cumulative / non-cumulative, optionally convertible, contingent convertibility, etc.

    Share Warrants & Derivative Rights

    Rights to purchase shares; options; warrants with performance or time based triggers.

    Debt Instruments

    Corporate debt, bonds (listed / unlisted), money market instruments, fixed income securities.

    Loan Pools & Portfolios

    Standard and stressed loan portfolios; securitized or direct assignments.

    Structured Finance Products

    Sub-hybrid facilities; contingent instruments; instruments with embedded options or triggers.

    Why It Matters

    Valuation of financial instruments is needed in many situations, including:
    • Investment analysis & portfolio decisions
    • Capital raising / fund commitments / investor negotiations
    • Transaction advisory (acquisitions, divestments, private equity)
    • Regulatory & accounting compliance (Ind-AS / IFRS; Income Tax; SEBI; RBI)
    • Sale or purchase of loan portfolios / NPAs
    • Dispute resolution, litigation, or litigation support

    Deliverables

    When you engage us for Financial Products Valuation, you can expect:

    ✔ Detailed valuation report with executive summary

    ✔ Clear description of instrument features & legal / contractual terms

    ✔ Method(s) used, market/comparable data, discount / yield curves etc.

    ✔ Scenario & sensitivity analyses

    ✔ Regulatory / accounting / tax compliance discussion (if applicable)

    ✔ Supporting schedules, if needed (cash-flow projections, comparables, risk assumptions)

    ✔ Assistance for auditors / regulators on queries

    Methodology & Approach

    We follow rigorous, transparent approaches. Our process typically involves:
    1. Understanding Instrument Terms
      Examining features such as convertibility, seniority, maturity, trigger events, payoff structure, contingent rights, etc.
    2. Data Gathering & Market Analysis
      Collecting financials, market comparables, recent trading data, benchmark yields; assessing macro & industry risk.
    3. Choosing Appropriate Valuation Method(s)
      Methods might include:
      • Discounted Cash Flow (DCF)
      • Yield / Internal Rate of Return for debt instruments
      • Comparable multiples for equity or hybrid instruments
      • Option-pricing techniques for warrants, options, embedded features
      • Scenario & sensitivity analysis if contingent / performance-linked
    4. Stress & Scenario Modelling
      For instruments exposed to performance risk, credit risk, or market volatility. Multiple scenarios (base, optimistic, pessimistic) to show impact.
    5. Drafting the Valuation Report
      Transparent disclosure of all assumptions, methodology, inputs; sensitivity of value to key assumptions; comparables; limitations.
    6. Review & Finalization
      Addressing questions, aligning with regulatory or audit requirements; formal delivery of final valuation report.

    Sample Use Cases

    • A company issuing convertible preference shares needs fair value for equity dilution & investor negotiations.
    • An ARC (Asset Reconstruction Company) acquiring stressed loan pool wants valuation under multiple recovery scenarios.
    • A business with an embedded warrant in its financing instrument needs valuation for financial reporting.
    • Private equity / fund entity requiring valuation of investments in unlisted equity & hybrid instruments.
    Call WhatsApp