The Asset Management Group of a large European Bank required an enterprise-wide market risk system that enabled real-time analysis across multiple geographies and source systems. Due to global growth, their business had outgrown the existing market risk solution. Management required a solution that could leverage some of their existing technology investments and provide a high performance solution to a global user base.
| CHALLENGES | ARMANTA SOLUTION |
|---|---|
| Integrate holding information from a large number of source trading-systems each with their own database across several geographies | Armanta Integrates with data in-place making the integration process simple and quick. This includes environments where the data is in many sources. |
| Incorporate analytical data from a risk calculation engine | Armanta enables simple incorporation of imbedded and external calculations within the Intelligence Cache™. In addition, all dependencies between data and calculations are managed automatically so updates to positions as well as market data and user edits are reflected across the enterprise immediately. |
| Manage network latency issues across geographies | Armanta’s distributed, grid-computing environment allows for configurations where each of the Intelligence Cache™ processes can run in the geography where the data is located. By parallelizing the calculations, only higher-level aggregated values need to be sent over the WAN. This results in an environment where large-scale analyses can be performed across an entire set of enterprise information in real time. |
| Perform ad hoc risk queries across all enterprise information | With the grid-capabilities of the Intelligence Cache, true ad hoc, business intelligence manipulations can be done in real time on enormous data sets. |
| Set and monitor risk limits at multiple levels of the corporate hierarchy where the sums of the limits at the lower levels do not necessarily add up to the higher-level limits | Armanta’s flexible aggregation and reporting capability enable highly customized behaviors to be modeled throughout the enterprise |
| Integrate with trading systems to show exposures vs limits to traders, and enable pre-trade calculations | Like all of Armanta’s components, Armanta’s Intelligence Cache is built on a completely open architecture that allows customers to integrate capabilities defined in the cache to be available to other systems |
Benefits
- Confidence of knowing their true, global market risk resulting in reduced risk to the business
- Greatly reduced time to market and reduced implementation risk by leveraging integrated, non-proprietary technology components
- Delivery of a highly customized solution to meet specific, complex market risk requirements
- Greatly reduced cost for initial deployment and future maintenance
- High resiliency, scalability and flexibility to provide high performance and handle global growth and change in the future
- Reduced technology maintenance overhead and reliance on outdated software
