Long Term Asset Value

First introduced in the maritime industry in 2009, the Long-Term Asset Value method is one of the most effective options when the market goes through dysfunctional or irregular circumstances.

LTAV is based on a Discounted Cash Flow model (DCF), supplementing the previously existing evaluation methods. Independent of market disturbances it is geared towards the potential for long-term sustainable profits of a ship. Weselmann is proud to have played a role in the development of LTAV.

Reasons for using LTAV

In case of a crisis caused partly virtual standstill in segments of S&P markets.

If partly ship valuators and shipbrokers suspended ship evaluation.

When forced sales are noticed in troubled market segments.

When reliable data for ship market values became more difficult to obtain.

In case the evaluation based on market-to-market cannot be made.

This method determines a ship’s long-term earnings potential.

Deploys the present value respectively discounted cash flow method (DCF).

Customized to meet the requirements of ship valuation.

Uses a conservative, statistically proven and transparent approach to incorporate the volatility of the shipping cycle.

The HSES complies with the requirements of the IDW S1 standard.

Your Contact

Bernd Holst