Gaia Transparence, a 2012 start-up dedicated to open source software for capital markets, has embedded Numerix analytics in its Transparence platform to deliver a compliance solution for European Markets Infrastructure Regulation (EMIR) ahead of the February 12 deadline for reporting derivatives trades to a trade repository.
The company offers two versions of the open source Transparence platform, which supports collateral management, margin requirements and credit value adjustment. One is Transparence Position Analytics, a premium version of the platform that carries a license fee and integrates Numerix analytics to support mandatory trade reporting and position monitoring under EMIR. The other is called Transparence Position Builder, a free to use version of the open source platform and its source code.
Emmanuel Nusimovici, CEO at Gaia Transparence, expects the free licence version of the platform to be taken up by large institutions that already have analytics and will develop the platform in-house. The premium version has been developed for smaller players looking for an open source platform that can be extended as well as proven analytics.
Nusimovici says: “We chose Numerix because its cross-asset capabilities and model library are both cutting edge and a recognised benchmark for the market.” The Transparence Position Analytics platform came to market last week and is ready for EMIR reporting. Initial coverage includes interest rate products, although coverage will be developed depending on customer demand for additional asset types. Gaia is talking to prospects about the Transparence Position Analytics platform and is supporting early implementers of Transparence Position Builder.
Looking forward, Nusimovici says: “The platform is comprehensive, including data and a modelling layer. We will continue to build apps on the platform to cover more aspects of the market and customers can also build on the platform. We are also looking for more partners like Numerix that are not open source, but could add value.” To date, the company has partnered Numerix and Siag Consulting, a Spanish firm that will ‘tropicalise’ the platform for Latin American markets.