Reporting Edition
The Reporting Edition, featuring Algo Risk Reports, meets the increasing need of hedge funds for a cost-effective risk reporting solution, incorporating advanced risk analytics designed to achieve regulatory compliance, support better investment decisions, and enhance investor confidence.

In Algo Risk Reports, hedge funds have a choice of pre-configured risk reports that are built on Algorithmics’ Mark-to-Future methodology. This allows them to benefit from Algorithmics’ full revaluation approach and sophisticated asset modeling with consistency across a multi-asset class framework, without the need to invest in costly risk infrastructure. Algo Risk Reports provides a pre-defined universe of traded and non-traded instruments to address most hedge fund needs. The Reporting Edition allows hedge funds to focus on their core business, while providing the flexibility to seamlessly migrate to the more powerful Managed or Installed Editions to meet the challenges of evolving business requirements and growth.

The option of stand-alone products to address collateral management and operational risk is also available.

Managed Edition
The Managed Edition is an award-winning risk management platform comprising an interactive user application plus a professional report publishing layer for internal and external risk reporting. The user application provides a wealth of functionality, including risk factor attribution, for hedge funds to view risk from different perspectives, which in turn helps to formulate market opinions, construct, test and optimize strategies before real world risk–informed decisions are implemented.

As a managed service, a dedicated data and production environment is provided which is uniquely configured to address each client’s specific requirements. All data management, model configuration and application support are provided by Algorithmics’ experienced risk professionals which avoids the need for hedge funds to invest in their own costly infrastructure. Hosted by Algorithmics and accessed via a web-based interface, this service supports not only informed investment decisions but also better risk oversight and reporting, leading to increased transparency and confidence for both external investors and regulators.

The option of stand-alone products to address collateral management and operational risk is also available.

Installed Edition
For hedge funds that prefer to have an in-house deployment there is an Installed Edition available. This provides hedge funds with full control and as there is no need for data to leave the premises, any confidentiality concerns can be addressed.

The option of stand-alone products to address collateral management and operational risk is also available.

Increase investor confidence, address regulatory compliance and formulate investment decisions with a range of solutions – from pre-configured risk reports to customized systems with different deployment options – optimized for hedge funds.

• Algo Collateral Operations

Algo Collateral Operations

Algo Collateral Operations offers banks, insurance providers, pension funds and asset managers a comprehensive software solution to identify and manage the risks associated with collateral management. Featuring an automated data management system that minimizes errors and operational risk, Algo Collateral Operations supports the proactive identification and management of risk across the enterprise.

Algo Collateral Operations incorporates a flexible, modular approach with the capability to satisfy the needs of all collateral management programs, including data gathering and consolidation, margin and collateral calculations, and the provision of downstream systems such as settlement and risk. With optional extensions for over-the-counter (OTC) Derivatives Margining and Repo Margining, Algo Collateral Operations offers diverse functionality supporting the increasing use of collateral within the global banking community.





• Algo Risk

Algo Risk

Algo Risk supports the pursuit of informed investment decisions with real time access to market and risk information. Addressing the diverse needs of risk managers, traders, portfolio managers, and quants, Algo Risk supports multiple investment strategies, asset classes, valuation methodologies, risk/portfolio analytics, and scenario generation techniques.

Algo Risk integrates the front and middle office through a flexible reporting interface. Decision support functions such as "what-if" analysis and "best hedge" recommendations are provided in addition to standard risk and performance analysis. Supporting a wide range of advanced portfolio and risk analytics, Algo Risk combines real time risk monitoring and an easy-to-use, customizable structure within an enterprise-wide data management system.





• Algo OpVar

Algo OpVar

Algo OpVar enables banks, diversified financial institutions, hedge funds, insurance providers and corporations to collect, analyze, assess and report on operational risk, calculate capital, and satisfy regulatory requirements.

Fully integrated, scalable and web-enabled, Algo OpVar offers seamless integration with a number of functional extensions, which each provide a specific set of operational risk management functionality:



Internal loss event data collection

Algo OpVar's LED enables the consistent collection, classification and maintenance of operational risk loss events and factors for each key process and/or product within each of the institution's business lines. Action plans can be created for loss events with specific workflows for the acceptance of loss data and the execution of action plans.



Risk and control self-assessment

Algo OpVar's RCSA provides a means to collect assessment data using a common language and methodology across the organization. RCSA allows institutions to inventory key risks and controls and then make decisions to control/mitigate operational risk.



Key risk indicators

Algo OpVar's KRI enables the identification of key risks and associated risk thresholds, so that the organization can monitor values and identify trends that might lead to unacceptable risk. Users can employ Algo OpVar's KRI functionality to trigger alerts and the assignment of action plans when a threshold is breached.





• Algo Risk Reports

Algo Risk Reports

Algo Risk Reports meets the increasing need of hedge funds for a cost-effective risk reporting solution, incorporating advanced risk analytics, to achieve regulatory compliance, support better investment decisions, and enhance investor confidence.

In Algo Risk Reports, Hedge Funds have a choice of pre-configured risk reports that are built on Algorithmics’ patented Mark to Future methodology. This allows them to benefit from Algorithmics’ full revaluation approach and sophisticated asset modeling with consistency across a multi-asset class framework, without the need to invest in costly risk infrastructure. Algo Risk Reports allows hedge funds to focus on their core business, while providing the flexibility to seamlessly migrate to the more powerful Enterprise Edition of Algorithmics’ Portfolio Construction and Risk Management for Hedge Funds to meet the challenges of evolving business requirements and growth.





• Algo Risk Service

Algo Risk Service

Algo Risk Service provides on demand access to state-of-the-art, hosted risk measurement and management support tools, without the cost of a complex infrastructure. Risk managers and front-office users can quickly benefit from Algo Risk Service's interactive workflow, 'slicing and dicing' capabilities, 'what-if' analysis and the ability to stress test across a number of risk factors including market risk, credit spreads, volatility surfaces and commodity curves.

Algorithmics’ Portfolio Construction and Risk Management for Hedge Funds is offered in Reporting, Managed, and Installed Editions providing a comprehensive set of features optimized for hedge funds and offered within a clear and seamless migration framework.

Offer risk reporting optimized for hedge funds

All Editions offer hedge funds powerful risk reporting capabilities, ranging from the Reporting Edition’s cost-effective pre-configured risk reports to the advanced and customized risk reports available with the Managed or Installed Editions.

With the Reporting Edition, hedge funds have a choice of:

• Regulatory Reports, to provide risk reports designed to comply with present and future regulatory requirements while supporting appropriate levels of transparency.
• Investor Reports, to provide risk reports for better communication with your clients to build investor confidence and attract/retain funds under management. Investor Reports include risk factor attribution to provide a different perspective on risk.
• Investment Reports, to provide the fund management teams with analytics to better manage their fund(s) from a risk measurement, portfolio construction and decision support perspective. Investment Reports include risk factor attribution to provide a different perspective on risk.

In the Managed and Installed Editions, customized versions of these reports, configured to address the reporting requirements of an individual hedge fund, can also be delivered according to a specified, agreed schedule. There is also an option for Managed or Installed Edition clients to receive the pre-configured risk reports offered by the Reporting Edition if this is required from a business perspective.

Consistent risk methodology and risk systems

All Editions are built upon Algorithmics’ Mark-to-Future methodology and the same powerful institutional risk systems, meaning that there is no compromise in the accuracy of the risk analytics. It also means that risk analytics are grounded in reality: risk numbers do not need to be scaled over time and, during simulations, matured instruments are settled correctly while optionality (e.g. changing a fixed income exposure to an equity exposure for convertible bonds) is exercised properly and the ageing of instruments are accurately captured.

Enables advanced portfolio and risk analytics

All Editions leverage Algorithmics’ decades of experience as the industry-leading provider of risk solutions. The Reporting Edition provides fund managers with the analytics to better manage their fund(s), from both a risk measurement and portfolio construction perspective, including risk factor attribution as a powerful tool. The Managed and Installed Editions are customizable and provide hedge funds with an interactive user interface. They include advanced features for risk aggregation, attribution and decomposition of hedge fund portfolios, including risk factor attribution. This increases transparency by enabling not only the instruments but also the risk factor exposures to be grouped and aggregated.

Algorithmics’ Portfolio Construction and Risk Management for Hedge Funds offers hedge fund partners and founders, fund managers, risk analysts and senior officers an award-winning risk reporting and portfolio construction solution to address their different perspectives on risk. The choice of editions ranging from pre-configured risk reports to customized deployment options with interactive user tools gives hedge funds the flexibility to select what they require, with the ability to migrate to a more powerful solution should their needs change.

Provides unrivaled coverage and modeling accuracy

The Reporting, Managed and Installed Editions are all founded on Algorithmics’ view that risk oversight should be an enabler, and not a hindrance, to the strategies hedge funds may wish to deploy. The Reporting Edition offers a pre-defined universe of traded and non-traded instruments to address most hedge fund needs. The more powerful Managed and Installed Editions provide unrivaled asset coverage including, but not limited to, complex derivatives and structured products. Model accuracy, which is a key feature of all editions, is especially important for proper measurement of path dependent instruments, for example, barrier options and callable convertible bonds, where proxies are proven to be grossly inaccurate. All editions provide asset modeling and validation by Algorithmics’ financial engineers to enhance accuracy and consistency.

Offers superior flexibility and customization

Portfolio Construction and Risk Management for Hedge Funds offers hedge funds, depending on the required level of customization, the option to migrate from the Reporting to the more powerful Managed or Installed Editions. The Reporting Edition provides a choice of pre-configured reports, optimized for hedge funds, to meet the internal, investment and regulatory requirements of a fund. The Managed and Installed Editions extend the range of features and benefits available to funds, switching the emphasis from the reporting of risk analytics to an interactive solution that truly supports the investment process. Many data sources, including feeds for hedge funds using multiple Prime Brokers, can be sourced directly as well as consolidated by Algorithmics into a single strategy or portfolio view. The Managed and Installed Editions offer hedge funds a dedicated client environment and access to Algorithmics’ risk professionals to ensure rapid implementation of a customized solution providing valuable analytics to support the investment decisions that hedge fund managers make on a daily basis.

Combines ease of use with advanced power and sophistication

All Editions offer hedge fund managers a solution uniquely combining ease of use with unrivalled power and sophistication. The Reporting Edition offers reporting capabilities to meet the diverse needs of hedge fund managers, investors and regulators, while the Managed and Installed Editions enable interactive, on-demand analysis to help make risk-informed decisions based on timely risk analytics.

Offers timely implementation and lower project risk

Leveraging the experience of hundreds of successful implementations with financial services companies around the world, Algorithmics offers hedge funds an engagement methodology appropriate to their needs to help minimize the cost and project risk of adopting Algorithmics’ solutions. The Reporting Edition with its pre-configured risk reports is specifically designed by Algorithmics for implementation with minimal effort from new clients. For Managed or Installed Edition clients, Algorithmics’ implementation projects are designed to meet each hedge fund’s approved time frames and budgets.