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Jul 9, 2021

A late revival of counterparty credit risk modeling

Counterparty Credit Risk (CCR) modeling became popular in the early 2000s as B2 entered into its final phase. Many banks rushed to develop their own approaches or acquire third-party vendor solutions for counterparty credit risk exposure measuring and management. 

Jun 17, 2021

The dawn of a new wave of internal models for Solvency II

At the onset of Solvency II, only a selected group of insurance and reinsurance undertakings—very unevenly distributed across European regions—went for an internal model approach. Five years have passed, during which the risk management culture has matured, with complex ERM systems being adopted by an increasing number of companies.

May 13, 2021

Moving to the cloud – it’s a risky business

Technology and IT management have become second nature for many financial firms. There is no shortage of anecdotes from the last decade where C-Suite executives anticipated the changes. One such CEO of a Tier 1 European Bank back in 2015 foretold, "In the future, we will be a software company.” Our view, as a software company, was that we felt confident that there would continue to be a greater reliance on IT infrastructure. The emphasis on infrastructure remains, although the business challenges are evolving.

May 4, 2021

The FRTB deadline is approaching—are you ready?

In 2021, banks in the US must be setting the groundwork for meeting the January 2023 deadline for the Fundamental Review of the Trading Book (FRTB). This year, US regulatory agencies are expected to issue a notice of proposed rulemaking (NPR) that will include finalized rules for FRTB. This will be followed by a hypothetical portfolio exercise and comment period. Because of uncertainty arising from the COVID-19 pandemic, the exact timing of the publication date will be difficult to predict. However, the goal of meeting the 2023 deadline is viewed as a high priority given the need for consistency across jurisdictions in terms of both implementation timing and the capital framework.

Apr 29, 2021

Risk management and lessons learned from GameStop

The most important lesson to learn from the recent GameStop event is the importance of risk management. But the point is not to try to forecast such an event. For the most part, GameStop being selected by the public for this wave of buying was more or less a random event. There are thousands of stocks that could have experienced the same thing—in fact, there are large stock price swings every day, just with less volume and publicity. Regardless of whether you are an individual or a large mutual fund, knowing if you have a “GameStop Candidate” in your portfolio is critical.

Mar 30, 2021

SS&C Algorithmics wins Most Innovative COVID-19 Response award

A-Team Group Innovation Awards has recognized SS&C Algorithmics as the Most Innovative COVID-19 Response for our new product, Algorithmics Scenarios as a Service.

Aug 27, 2020

SS&C Algorithmics recognized in Waters Rankings 2020

SS&C Algorithmics has been named as the winner of Best Market Risk Solution Provider at the Waters Rankings 2020. Mina Wallace, SVP and General Manager, SS&C Algorithmics commented, “We are delighted to win this award and proud to be recognized for the success we’ve had delivering on FRTB for our clients. We appreciate our clients voting for us in the prestigious Waters Rankings.”

Apr 16, 2020

The COVID-19 Impact: What if, and so what?

Much has been written and much more will be written about the 2020 COVID-19 pandemic that has shocked the world. That shock comes in 5 classic waves—denial, anger, bargaining, depression and finally, acceptance. The bargaining wave highlights a critical stage for us in Financial Risk Management and measures our regret at not undertaking certain actions. More importantly, it addresses the question, “If only...,” or put more succinctly, “What if...?”


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