Credit Spreads

Interest Rate Engine: At-Arm's-Length Interest Rates and Credit Spreads

Ensure your intercompany financing is arm's length. Access up-to-date global yield curves, credit spreads, and shadow rating tools in a audit-proof data platform. For loan valuations and transfer pricing (TP) documentation.
Date-specific interest rate determination for every valuation occasion
Full transparency of data, methods, and calculation paths
Access to international credit spreads, sector data, and ratings
Country and size filters for tailored analyses
Proven in use by tax authorities and for transfer pricing documentation

Trusted by Tax Experts and Treasurers Worldwide

Pain-Points

Arbitrary Interest Rates Trigger Audit Risks.

Tax authorities are increasingly scrutinizing intercompany loans. Manual spreadsheets and outdated bank quotes don't hold up in court. smartZebra provides a fully documented, OECD-compliant data trail, ensuring your interest rates are defensible and "at arm's length”.
Customizable

Interest Rates with Maximum Transparency.

All the components you need to construct a compliant interest rate.
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BEPS-Compliant

Methodologies aligned with the latest Transfer Pricing guidelines.
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IFRS & US-GAAP

Every rate comes with source timestamps and calculation logic.
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Global Coverage

Corporate bond yield and yield curves across Europe, US, Asia, and LATAM.
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Regular Updates

Up-to-date data ensures accurate point-in-time valuation.
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Custom Loan Evaluation

Interpolate rates for exact loan terms (e.g., 3 years, 5 months).
Action

Determine Your At-Arm's-Length Interest Rates

Critical data for corporate treasury and tax departments:
Intercompany Loans
Cash Pooling
Financial Guarantees
IFRS 16 / IFRS 9 / IFRS 3
Thin Capitalization Rules
Lease Accounting

Defensible Rates in 3 Steps.

Determine interest rates for loans and transfer pricing with ease – fast, transparent, and audit-ready.
Step 1

Determine Credit Profile.

  • Use our synthetic rating tool to score the borrower's creditworthiness.
  • The assessment is based on recognized credit indicators such as debt sustainability and interest coverage.
Step 2

Specify Business Profile.

  • Qualitative assessment of the risk and attractiveness of the business.
  • Combine the risk-free curve with the appropriate sector credit spread.
Step 3

Specify Loan Characteristics.

  • Adjustments for Seniority & Collateral.
  • Surcharges and Fees.
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Three Tools for Arm's-Length-Rates.

Modular tools to build the exact interest rate your situation requires.
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Government Yields

Automated retrieval of risk-free yield curves (Svensson, Nelson-Siegel) from major economies (EUR, USD, GBP, etc.).
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Synthetic Ratings

Score unlisted subsidiaries based on key financial ratios (Interest Coverage, Leverage) to derive a shadow rating (e.g., BBB+).
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Credit Spreads

Access liquid bond spreads matched to currency, rating, and sector to price the risk premium accurately.
Features

Deep Fixed Income Data for Precise Calibration.

Features

Duration

Calculate credit spreads individually for maturities between 1 and 30 years. This allows you to find the appropriate interest rate for any financing structure – from short-term working capital loans to long-term loans.
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Sector

Choose from 15 sectors and 8 sector categories. This ensures that your interest rates are precisely tailored to the respective industry and reliably reflect market peculiarities.
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Credit Ratios

Utilize credit indicators for five areas of credit assessment, which you can weight sector-specific or individually. This enables an objective, traceable assessment of creditworthiness – even without an external rating.
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Qualitative Assessment

Incorporate qualitative factors into the analysis that cannot be directly derived from financial data. This takes into account the borrower's specifics and enhances the validity of your assessment
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Currency, Seniority, Collateralization of Bonds

Fine-tune your analysis: Filter by currency, ranking, and collateral of the bonds used in the calculation. This will give you results that are ideally suited to your valuation scenario.
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Rating

An external rating is not required. On request, the analysis provides a potential rating as a result – saving time and enabling a reliable interest rate determination even for unrated companies.
Advantages

Your Advantages for Interest Rates.

  • Minimize the risk of transfer pricing adjustments during tax audits.
  • Replace hours of manual Bloomberg/Reuters research with instant queries.
  • Apply a standardized, group-wide methodology for all intercompany loans.
Book a Demo

Book an Individual Demo Today.

Schedule a 60-minute walkthrough. We’ll show you how to value a target company in real-time.