Industry Leading What-If Capabilities
Commoditisation Eroding Profit Margins
Today, many firms are struggling to compete in the credit derivatives market. Ever increasing volumes, the rapid standardisation of products (and the emergence of credit index products), mean that firms are being forced in one of two directions. Either they go with the volume side and try to compete with the biggest players with the ever decreasing margins this implies, or, they go for the niche or more exotic side of the product space.
The problem with the latter option is that the significant complexity of these products mean that accurate prices cannot be quoted instantly. Either a lengthy wait (perhaps overnight for a batch run) is needed, or approximations are used based on intra-day changes and the previously calculated over-night value. The former is both inconvenient and restricts selling capability while the latter will not win points in the new risk environment of Basel II.
Enabling a Step-Change in Capability
By leveraging our solutions you could radically reduce compute times providing best-in-class price and risk coverage. With 1000x faster* calculations you could evaluate a full risk position faster than your competitors can quote a price.
If you don't have problems but are interested in moving to the next level of capability, then we're here to facilitate.
* While we believe that 1000x performance is realistic for many algorithms, actual performance is dependent on many factors - we are happy to discuss potential benefits with you.
Contact us today to find out how we can help.