24/7 Real-time Infrastructure
Accurate, real-time and pre-deal simulation for capturing trade impact on risk on a single risk platform. Perform trade amendments and limit checking within seconds. Delivers sub second response times in a 24x7 high availability architecture, across multiple global trading desks.
Flexible and scalable infrastructure to deploy Real World, Risk Neutral, Historical Market, Stressed Market, Standardized CCR and other sets of analytics on single platform and user interface.
Compliance with Basel II.5/III standardized and internal model calculations of capital and the ability to measure impact of new deals on credit capital and return on capital. Increases return on capital and reduces RWAs with Basel Compliance. Computes standardized counterparty credit and risk exposure with Basel Current Exposure Method and SA-CCR methodologies in real-time.
What-if Sandbox Analytics
Extensive counterparty exposure stress testing via what-if analysis and powerful sandboxing capabilities with UI driven simulation and aggregation. Provides a platform to analyze credit exposure changes on a daily basis and attribute exposure contributions as well as risk factor analyses.
Direct connection to multiple FO systems and the ability to leverage 3rd party and internally developed models via open APIs. Pluggable analytics for customizable components and proprietary analytics engines.
Increase competitive advantage with accurate pricing of new deals and hedging counterparty exposures and XVAs, important for the XVA desk. Capture the effect of Wrong Way Risk in XVA pricing with sophisticated analytics.
Regulators require IMM approved Financial Institutions to perform CCR backtesting on an annual basis. IBM provides infrastructure and methodology for counterparty credit risk back testing.
Margin Impact on Exposures
Consider impact of Variation and Initial Margin impacts on exposure calculation. Model futures margin exchange across scenarios based on actual legal agreement term signed with counterparties.
Fulfill the Stringent Rules of the TRIM
In Europe, the Targeted Review of Internal Models (TRIM)is intended to review the best practices of Internal Model Approved financial institutions. IBM provides advanced exposure modeling techniques and analytical capabilities for FIs to achieve compliance including capturing cash flow spikes during margin period of risk.
User customizable workflow process for post trade workflow for investigation, violation approval and escalation as well as facilitates risk team day to day analysis work by identifying abnormality changes in exposures