Snapshot approach for underwriting valuation of asset portfolios
First Claim
1. A method for valuing a portfolio of assets having an undetermined value using a snapshot approach system, the snapshot approach system implemented using a computer coupled to a database, the computer configured to perform valuation process analytics, said method comprising:
- assigning a plurality of predetermined financial attributes to each asset included within the portfolio;
categorizing the assets into a predetermined number of segments based on the assigned financial attributes of each asset;
selecting a representative sample of assets having an undetermined value from each segment;
fully underwriting each asset included in the representative asset sample;
valuing each asset in the representative asset sample based on the underwriting process;
generating by the computer a valuation model based on the underwriting values and the financial attributes assigned to the assets included within the representative asset sample;
establishing a stopping criteria that equals a predetermined amount of variance between a predicted value and an underwritten value of the representative asset sample;
determining the predicted value of the representative asset sample by applying the generated valuation model to the assets included within the representative asset sample;
determining the underwritten value of the representative asset sample from the underwriting values of the assets included within the representative asset sample;
calculating a model delta by comparing the predicted value of the representative asset sample to the underwritten value of the representative asset sample;
determining by the computer a predictive accuracy of the generated valuation model by comparing the model delta to the stopping criteria and determining whether the generated valuation model satisfies the stopping criteria;
calculating by the computer a value of the portfolio of assets having an undetermined value for bidding purposes based on the generated valuation model if the stopping criteria is satisfied; and
if the stopping criteria is not satisfied, iteratively updating the generated valuation model by fully underwriting additional assets included within the portfolio but not included within the representative sample until the stopping criteria is satisfied.
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Accused Products
Abstract
A method for valuing portfolio assets using a snapshot approach system is provided. The method includes segmenting portfolio assets into a predetermined number of segments based on financial attributes of each asset, selecting a representative sample of assets from each segment, valuing each asset in the representative asset sample, and calculating a value of the portfolio assets for bidding purposes based on the value of each asset in the representative asset sample.
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Citations
52 Claims
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1. A method for valuing a portfolio of assets having an undetermined value using a snapshot approach system, the snapshot approach system implemented using a computer coupled to a database, the computer configured to perform valuation process analytics, said method comprising:
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assigning a plurality of predetermined financial attributes to each asset included within the portfolio; categorizing the assets into a predetermined number of segments based on the assigned financial attributes of each asset; selecting a representative sample of assets having an undetermined value from each segment; fully underwriting each asset included in the representative asset sample; valuing each asset in the representative asset sample based on the underwriting process; generating by the computer a valuation model based on the underwriting values and the financial attributes assigned to the assets included within the representative asset sample; establishing a stopping criteria that equals a predetermined amount of variance between a predicted value and an underwritten value of the representative asset sample; determining the predicted value of the representative asset sample by applying the generated valuation model to the assets included within the representative asset sample; determining the underwritten value of the representative asset sample from the underwriting values of the assets included within the representative asset sample; calculating a model delta by comparing the predicted value of the representative asset sample to the underwritten value of the representative asset sample; determining by the computer a predictive accuracy of the generated valuation model by comparing the model delta to the stopping criteria and determining whether the generated valuation model satisfies the stopping criteria; calculating by the computer a value of the portfolio of assets having an undetermined value for bidding purposes based on the generated valuation model if the stopping criteria is satisfied; and if the stopping criteria is not satisfied, iteratively updating the generated valuation model by fully underwriting additional assets included within the portfolio but not included within the representative sample until the stopping criteria is satisfied. - View Dependent Claims (2, 3, 4, 5, 6, 7, 8, 9, 10, 11)
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12. A method for valuing a portfolio of assets having an undetermined value using a snapshot approach system, the snapshot approach system implemented using a computer coupled to a database, the computer configured to perform valuation process analytics, said method comprising:
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assigning a plurality of predetermined financial attributes to each asset included within the portfolio, the plurality of financial attributes including an amount of unpaid principal balance (“
UPB”
), a collateral type, whether the loan is secured, whether the loan is unsecured, real estate security, non-real estate security, a litigation status, a borrower operational status, and payment behavior;categorizing the assets into a predetermined number of segments based on the assigned financial attributes of each asset; selecting a representative sample of assets having an undetermined value from each segment; performing by the computer an iterative and adaptive valuation in which each asset in the representative asset sample is individually valued, the iterative and adaptive valuation includes underwriting each asset in the representative asset sample to generate underwriting data, valuing each asset in the representative asset sample based on underwriting data, categorizing each asset in the representative asset sample based on asset characteristics such that each asset in the representative asset sample is categorized with assets included in the representative asset sample having similar asset characteristics, and generating a valuation model based on the underwriting values and asset characteristics of the assets included within the representative asset sample; establishing a stopping criteria that equals a predetermined amount of variance between a predicted value and an underwritten value of the representative asset sample; determining the predicted value of the representative asset sample by applying the generated valuation model to the assets included within the representative asset sample; determining the underwritten value of the representative asset sample from the underwriting values of the assets included within the representative asset sample; calculating a model delta by comparing the predicted value of the representative asset sample to the underwritten value of the representative asset sample; determining by the computer a predictive accuracy of the generated valuation model by comparing the model delta to the stopping criteria and determining whether the generated valuation model satisfies the stopping criteria; and valuing by the computer the portfolio of assets having an undetermined value for bidding purposes when the stopping criteria is satisfied by applying the generated valuation model to the portfolio and by comparing the asset characteristics of the assets in the representative asset sample to the assets included within the portfolio but not included within the representative sample. - View Dependent Claims (13)
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14. A portfolio valuation system for snapshot valuation of a portfolio of assets having an undetermined value, said system comprising:
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a centralized database for storing information relating to the portfolio of assets having an undetermined value; a server system coupled to said database and configured to perform valuation process analytics; and at least one client system connected to said server system through a network, said server further configured to; assign a plurality of predetermined financial attributes to each asset included within the portfolio; categorize the assets into a predetermined number of segments based on the assigned financial attributes of each asset; select a representative sample of assets having an undetermined value from each segment; prompt a user to fully underwrite each asset included in the representative asset sample; value each asset in said representative asset sample based on the underwriting process; generate a valuation model based on the underwriting values and the financial attributes assigned to the assets included within the representative asset sample; establish a stopping criteria that equals a predetermined amount of variance between a predicted value and an underwritten value of the representative asset sample; determine the predicted value of the representative asset sample by applying the generated valuation model to the assets included within the representative asset sample; determine the underwritten value of the representative asset sample from the underwriting values of the assets included within the representative asset sample; calculate a model delta by comparing the predicted value of the representative asset sample to the underwritten value of the representative asset sample; determine a predictive accuracy of the generated valuation model by comparing the model delta to the stopping criteria and determining whether the generated valuation model satisfies the stopping criteria; calculate a value of the portfolio of assets having an undetermined value for bidding purposes based on the generated valuation model if the stopping criteria is satisfied; and if the stopping criteria is not satisfied, iteratively update the generated valuation model by fully underwriting additional assets included within the portfolio but not included within the representative sample until the stopping criteria is satisfied. - View Dependent Claims (15, 16, 17, 18, 19, 20, 21, 22, 23, 24)
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25. A portfolio valuation system for snapshot valuation of a portfolio of assets having an undetermined value, said system comprising:
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a centralized database for storing information relating to the portfolio of assets having an undetermined value; a server system coupled to said database and configured to perform valuation process analytics; and at least one client system connected to said server system through a network, said server further configured to; assign a plurality of predetermined financial attributes to each asset included within the portfolio, the plurality of financial attributes including an amount of unpaid principal balance (“
UPB”
), a collateral type, whether the loan is secured, whether the loan is unsecured, real estate security, non-real estate security, a litigation status, a borrower operational status, and payment behavior;categorize the assets into a predetermined number of segments based on the assigned financial attributes of each asset; select a representative sample of assets from each segment; perform an iterative and adaptive valuation in which each asset in said representative asset sample is individually valued, said iterative and adaptive valuation comprises underwriting each asset in said representative asset sample to generate underwriting data, valuing each asset in said representative asset sample based on underwriting data, categorizing each asset in said representative asset sample based on asset characteristics such that each asset in said representative asset sample is categorized with assets included in said representative asset sample having similar asset characteristics, and generating a valuation model based on the underwriting values and asset characteristics of the assets included within the representative asset sample; establish a stopping criteria that equals a predetermined amount of variance between a predicted value and an underwritten value of the representative asset sample; determine the predicted value of the representative asset sample by applying the generated valuation model to the assets included within the representative asset sample; determine the underwritten value of the representative asset sample from the underwriting values of the assets included within the representative asset sample; calculate a model delta by comparing the predicted value of the representative asset sample to the underwritten value of the representative asset sample; determine a predictive accuracy of the generated valuation model by comparing the model delta to the stopping criteria and determining whether the generated valuation model satisfies the stopping criteria; and value said portfolio of assets having an undetermined value for bidding purposes when said stopping criteria is satisfied by applying the generated valuation model to the portfolio and by comparing asset characteristics of the assets in said representative asset sample to said assets included within said portfolio but not included within said representative sample. - View Dependent Claims (26)
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27. A system for snapshot valuation of a portfolio of assets having an undetermined value, said system comprising a computer including a database of the portfolio and configured to enable valuation process analytics, said computer configured to:
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assign a plurality of predetermined financial attributes to each asset included within a portfolio; categorize the assets into a predetermined number of segments based on the assigned financial attributes of each asset; select a representative sample of assets having an undetermined value from each segment; prompt a user to fully underwrite each asset included in the representative asset sample; value each asset in said representative asset sample based on the underwriting process; generate a valuation model based on the underwriting values and the financial attributes assigned to the assets included within the representative asset sample; establish a stopping criteria that equals a predetermined amount of variance between a predicted value and an underwritten value of the representative asset sample; determine the predicted value of the representative asset sample by applying the generated valuation model to the assets included within the representative asset sample; determine the underwritten value of the representative asset sample from the underwriting values of the assets included within the representative asset sample; calculate a model delta by comparing the predicted value of the representative asset sample to the underwritten value of the representative asset sample; determine a predictive accuracy of the generated valuation model by comparing the model delta to the stopping criteria and determining whether the generated valuation model satisfies the stopping criteria; calculate a value of the portfolio of assets having an undetermined value for bidding purposes based on the generated valuation model if the stopping criteria is satisfied; and if the stopping criteria is not satisfied, iteratively update the generated valuation model by fully underwriting additional assets included within the portfolio but not included within the representative sample until the stopping criteria is satisfied. - View Dependent Claims (28, 29, 30, 31, 32, 33, 34, 35, 36, 37)
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38. A system for snapshot valuation of a portfolio of assets having an undetermined value, said system comprising a computer including a database of the portfolio and configured to enable valuation process analytics, said computer configured to:
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assign a plurality of predetermined financial attributes to each asset included within a portfolio, the plurality of financial attributes including an amount of unpaid principle balance (“
UPB”
), a collateral type, whether the loan is secured, whether the loan is unsecured, real estate security, non-real estate security, a litigation status, a borrower operational status, and payment behavior;categorize the assets into a predetermined number of segments based on the assigned financial attributes of each asset; select a representative sample of assets having an undetermined value from each segment; perform an iterative and adaptive valuation in which each asset in said representative asset sample is individually valued, said iterative and adaptive valuation comprises underwriting each asset in said representative asset sample to generate underwriting data, valuing each asset in said representative asset sample based on underwriting data, segmenting each asset in said representative asset sample based on asset characteristics such that each asset in said representative asset sample is categorized with assets included in said representative asset sample having similar asset characteristics, and generating a valuation model based on the underwriting values and asset characteristics of the assets included within the representative asset sample; establish a stopping criteria that equals a predetermined amount of variance between a predicted value and an underwritten value of the representative asset sample; determine the predicted value of the representative asset sample by applying the generated valuation model to the assets included within the representative asset sample; determine the underwritten value of the representative asset sample from the underwriting values of the assets included within the representative asset sample; calculate a model delta by comparing the predicted value of the representative asset sample to the underwritten value of the representative asset sample; determine a predictive accuracy of the generated valuation model by comparing the model delta to the stopping criteria and determining whether the generated valuation model satisfies the stopping criteria; and value said portfolio of assets having an undetermined value for bidding purposes when said stopping criteria is satisfied by applying the generated valuation model to the portfolio and by comparing asset characteristics of the assets in said representative asset sample to said assets included within said portfolio but not included within said representative sample. - View Dependent Claims (39)
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40. A non-transitory computer readable medium comprising a computer program embodied thereon for performing snapshot valuation of a portfolio of assets having an undetermined value, said computer program comprising computer code stored on the computer readable medium and executable by a computer system that:
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assigns a plurality of predetermined financial attributes to each asset included within the portfolio; categorizes the assets into a predetermined number of segments based on the assigned financial attributes of each asset; selects a representative sample of assets having an undetermined value from each segment; prompts a user to fully underwrite each asset included in the representative asset sample; values each asset in said representative asset sample based on the underwriting process; generates a valuation model based on the underwriting values and the financial attributes assigned to the assets included within the representative asset sample; establishes a stopping criteria that equals a predetermined amount of variance between a predicted value and an underwritten value of the representative asset sample; determines the predicted value of the representative asset sample by applying the generated valuation model to the assets included within the representative asset sample; determines the underwritten value of the representative asset sample from the underwriting values of the assets included within the representative asset sample; calculates a model delta by comparing the predicted value of the representative asset sample to the underwritten value of the representative asset sample; determines a predictive accuracy of the generated valuation model by comparing the model delta to the stopping criteria and determining whether the generated valuation model satisfies the stopping criteria; calculates a value of the portfolio of assets having an undetermined value for bidding purposes based on the generated valuation model if the stopping criteria is satisfied; and if the stopping criteria is not satisfied, iteratively updates the generated valuation model by fully underwriting additional assets included within the portfolio but not included within the representative sample until the stopping criteria is satisfied. - View Dependent Claims (41, 42, 43, 44, 45, 46, 47, 48, 49, 50)
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51. A non-transitory computer readable medium comprising a computer program embodied thereon for performing snapshot valuation of a portfolio of assets having an undetermined value, said computer program comprising computer code stored on the computer readable medium and executable by a computer system that:
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assigns a plurality of predetermined financial attributes to each asset included within the portfolio, the plurality of financial attributes including an amount of unpaid principal balance (“
UPB”
), a collateral type, whether the loan is secured, whether the loan is unsecured, real estate security, non-real estate security, a litigation status, a borrower operational status, and payment behavior;categorizes the assets into a predetermined number of segments based on the assigned financial attributes of each asset; selects a representative sample of assets having an undetermined value from each segment; performs an iterative and adaptive valuation in which each asset in said representative asset sample is individually valued, said iterative and adaptive valuation comprises underwriting each asset in said representative asset sample to generate underwriting data, valuing each asset in said representative asset sample based on underwriting data, categorizing each asset in said representative asset sample based on asset characteristics such that each asset in said representative asset sample is categorized with assets included in said representative asset sample having similar asset characteristics, and generating a valuation model based on the underwriting values and asset characteristics of the assets included within the representative asset sample; establishes a stopping criteria that equals a predetermined amount of variance between a predicted value and an underwritten value of the representative asset sample; determines the predicted value of the representative asset sample by applying the generated valuation model to the assets included within the representative asset sample; determines the underwritten value of the representative asset sample from the underwriting values of the assets included within the representative asset sample; calculates a model delta by comparing the predicted value of the representative asset sample to the underwritten value of the representative asset sample; determines a predictive accuracy of the generated valuation model by comparing the model delta to the stopping criteria and determining whether the generated valuation model satisfies the stopping criteria; and values said portfolio of assets having an undetermined value for bidding purposes when said stopping criteria is satisfied by applying the generated valuation model to the portfolio and by comparing asset characteristics of the assets in said representative asset sample to said assets included within said portfolio but not included within said representative sample. - View Dependent Claims (52)
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Specification