Streamline Payment In-Kind (PIK)
Risk Management
PIK Risk Management reduces manual tracking by end users and helps mitigate the potential interest risk and credit risk. The analyzed concepts provide end users with the data points needed to identify the key characteristics of the PIK toggle loans in the credit agreement
Key Data Points Tracked
 PIK Feature Existence Indicates whether the PIK feature is present in the financial agreement |  PIK Toggle Existence Specifies whether the PIK toggle option exists within the agreement |  PIK Interest Election Availability Tracks the availability of options related to PIK interest elections |
 PIK Interest Usage Limits Keeps tabs on the limits associated with the usage of PIK interest |  PIK Interest Rate Adjustment Cap Monitors the maximum allowable adjustment to PIK interest rates |  PIK Interest Rate Premium Tracks the maximum cap on premium rates for PIK interest |
Exploring Key Benefits of PIK Concepts
Efficiently Negotiate PIK Interest RateStreamline the negotiation process for PIK (Payment in-Kind) interest rates, enabling users to effectively set and adjust interest rates in a timely and cost-effective manner |  |
 | Easily Track PIK Usage Limits and PIK Effective PeriodsSimplify the tracking and management of PIK usage limits and effective periods, ensuring users have a clear and accessible overview of these critical parameters |
Seamlessly Analyze PIK Interest RiskConduct in-depth analysis of PIK interest risk with ease, allowing users to assess and mitigate potential financial risks associated with Payment in Kind interest |  |
 | Effectively Monitor PIK Interest AvailabilityStay on top of PIK interest availability effortlessly, ensuring that users have real-time access to crucial data regarding the availability of Payment in Kind interest |
PIK Interest Concepts Captured
Exists
Indicates whether the ESG Ratchet mechanism is present or active
Toggle - Exists
Specifies whether the toggle option for PIK interest exists
Election Availability - Period in Month(s)
Indicates the availability of PIK interest election options within specific timeframes
Election Availability - Leverage Ratio Test
Tracks the availability of PIK interest elections based on leverage ratio tests
Election Availability - Coverage Ratio Test
Tracks the availability of PIK interest elections based on coverage ratio tests
Election Availability Liquidity Cap - Fixed Amount
Monitors the availability of PIK interest elections with fixed liquidity caps
Election Availability Liquidity Cap - Currency
Tracks the availability of PIK interest elections with specified currency caps
Election - Annual Usage
Monitors annual usage of PIK interest elections
Election - Maximum Usage Period in Month(s)
Tracks the maximum allowable usage period for PIK interest elections
Election - Maximum Consecutive Interest Periods
Specifies the maximum number of consecutive interest periods for PIK elections
Rate Premium - Percentage of Amount Elected
Tracks the premium rate as a percentage of the elected amount for PIK interest
Rate Premium - Fixed Amount in Basis Points
Monitors the fixed premium amount in basis points for PIK interest
Rate Cap - Percentage of Interest Payable
Specifies the cap as a percentage of the interest payable for PIK interest
Rate Cap - Fixed Amount in Basis Points
Monitors the fixed cap amount in basis points for PIK interest