SunGard has released a new version of its risk analytics engine, Adaptiv Analytics, that provides improved performance to help customers manage developments in Credit Value Adjustment (CVA) and around regulations such as Basel III capital requirements.
Adaptiv helps customers accurately calculate the cost of credit so that traders can correctly price new business while maximising opportunities. It helps customers quickly and efficiently handle computationally-intensive calculations for active CVA management and new regulatory stress test requirements. As credit risk management increases in priority to senior management, Adaptiv also helps increase the transparency of counterparty credit risk.
Tests demonstrate that Adaptiv Analytics now performs over 6 times faster than previous releases for a benchmark portfolio. This increase in performance means that a calculation will run in the same time with only 16% of the hardware required previously, helping reduce hardware costs associated with expensive simulation calculations. Adaptiv Analytics’ fast and accurate calculations help give customers a more precise reflection and allocation of their credit risk.
Mat Newman, head of product management for Adaptiv in SunGard’s position, risk and operations business, said, “Adaptiv Analytics helps customers manage the increased volumes and complexity of calculations that are now required to perform pricing and risk management, such as CVA, incremental risk charge and potential future exposure calculations. This innovation is part of our ongoing program of technology optimization.”
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