Comprehensive UCITS reporting ensures nothing is missed – breaches/fails etc.
The RiskSystem AIFMD solution ensures full compliance with all aspects of your risk obligations per the Regulations.
AIFMD liquidity monitoring
RiskSystem can monitor market liquidity in normal and exceptional liquidity conditions using hourly price feeds where both market bid-ask and market volume are used to assess the cost of liquidation of portfolios. RiskSystem also monitors funding liquidity (the risk to a fund due to redemptions by investors).
Monitor all funds’ exposure in a single dashboard
RiskSystem operates a proprietary multi-model VaR engine that implements a variety of VaR methodologies e.g. Parametric, Monte-Carlo, Historical, Windows, Distribution etc.
Our Market Risk functionality is at the heart of what we do. We offer a complete landscape of Market Risk measurements, including VaR, Component Var, Commitment, Gross Exposure, Liquidity Forecasting, Historical and Scenario Stress Testing, Option Risk Parameters, Sector Component Risk, and more, all within our intuitive and transparent Graphical User Interface – RAPTOR
At RiskSystem we carefully manage our stress testing methods to provide complete oversight over worst case scenarios. This includes our historical stress testing algorithms, which rigorously analyses the effect of past scenarios against the current portfolio with robust correlation tests and blanket downturns in measured historical quantifiers, as well as our bespoke hypothetical testing, modelling drops in asset markets, currencies, and Flight to Safety, all while tracking these effects on the P/L, Volatility, etc.
To accompany RiskSystem’s VaR models with correct validation, we provide a variety of tools such as historical back-testing, parametrical back-testing, simulations and stress testing. All VaR backtests can be conveniently exported for further reconciliation or regulatory filings, all in compliance with the UCITS VaR exceedance regulations.
As an integral part of the Key Investor Information Document (KIID) for UCITS funds RiskSystem monitors the SRRI according to the regulations (CESR/10-673) for all share classes, while providing exact calculation breakdowns for reconciliation and handling all edge cases such as dividends, proxies and benchmarks.
RiskSystem offers a pro-active rather than a re-active process to portfolio alterations. Using our Pre-trade functionality, our clients can pre-enter positions into their portfolio and assess the resulting effects on their fund’s risk exposures and compliance before entering them in the market.
RiskSystem’s Tracking Error engine calculates the divergence between the price behavior of the portfolio and the price behavior of a benchmark. RiskSystem can be configured to monitor the Tracking Error for any timeframe, any benchmark and other fund specific configurations.
RiskSystem offers many advantages over competing risk solutions
The risks of any number of sub-funds are integrated into one portal.
All functionality and reporting can be tailored to clients requirements.
All instruments and fund types covered.
Our internally developed functionality – automated risk profiling – ensures rapid onboarding of new funds removing any constraints on growth of funds under management.
Full Managed Service
Sourcing, cleansing, enriching and processing all data from any preferred source in any format is our responsibility.
All data and risk analytics are stored in a highly secure private cloud.