Portfolio Construction and Risk Management for Fund Managers offers a proven exposure functionality with a consistent, integrated framework for assessing future uncertainty across the enterprise.

• 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 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.

Supported by a single risk engine, data architecture and data mapping tools, Portfolio Construction and Risk Management for Fund Managers offers a wide range of advanced portfolio and risk analytics that can be used as the foundation for both investment and risk oversight functions.

Advanced risk measurement and management
Firms gain an extensive array of simulation-based absolute and relative risk analytics, ranging from probabilistic measures including VaR and tracking error, to stress testing measures such as user-defined risk factor shocks and historical replays. Portfolio Construction and Risk Management forFund Managers also offers a variety of analytic functions such as duration, spread duration and yield exposure calculations at the instrument, portfolio and benchmark levels.

Extensive instrument modeling and analytics
Portfolio Construction and Risk Management for Fund Managers is packaged with a vast library of pricing functions, statistical models and risk analytics. Financial securities are modeled as generic instrument types that capture an exhaustive range of instrument terms and conditions, and facilitate the rapid configuration of newly issued securities. Additional third-party or proprietary valuation models may also be seamlessly integrated using the solution's API.

User-friendly interface
Algorithmics' asset management solution offers an easy-to-use, customizable interface that provides both an enterprise view as well as an easy drill-down capability, enabling users to navigate seamlessly through and ascertain key contributors to overall risk.

Real-time risk monitoring
Portfolio Construction and Risk Management forFund Managers uses an on-demand feed to monitor a firm's risk profile throughout the day. It also supports dynamic portfolio re-aggregation capabilities and provides powerful 'what-if' functionalities, facilitating the exploration of trade ideas and allowing 'before and after' comparisons.

Optimized data handling capacity
Leveraging a high-powered simulation framework to process multiple requests from hundreds of users simultaneously, Portfolio Construction and Risk Management forFund Managers offers financial institutions optimized calculation speed and data handling capacity.

Portfolio Construction and Risk Management for Fund Managers meets the diverse requirements of portfolio managers, traders, risk managers and quants who require an accurate, real-time view of risk in support of intelligent risk taking and business growth.

Increases investment returns
An integrated risk architecture, together with an advanced, scenario-based framework, enables risk managers to pursue more fully informed, proactive business decisions thereby mitigating unexpected losses and maximizing returns.

Provides greater transparency to support investment decisions
Using a consistent and asset-neutral risk methodology, firms are able to dynamically identify concentrations of risk categorized by risk factor, strategy and portfolio grouping. Firms may also view information at the enterprise level or at the position level, and use trend analyses to highlight strategy drift, historical limit breach and overall risk profile over time.

Provides real-time portfolio and risk analytics
Real-time portfolio analytics, exposure management capabilities and risk analytics are delivered to the front office via a user-friendly, web-enabled interface. Risk profiles can be updated throughout the day to ensure there is always an accurate picture of risk, which allows users to assess the impact of a new deal on a portfolio's existing risk profile.

Integrates the front and middle office
By leveraging a single enterprise risk framework, firms are able to address both front- and middle-office information requirements. A customizable reporting interface can be used to meet the needs of multiple groups including portfolio managers, risk managers and senior officers.

Adapts to evolving business requirements
Respond quickly to the incorporation of new asset classes, business lines, investment strategies and risk methodologies with the support of a highly scalable, client-server architecture, designed to address the needs of multiple user groups within financial institutions.

Reduces total cost of ownership
Using a common software architecture across both the front and the middle office simplifies a firm's overall IT infrastructure, while proven data integration and instrument modeling techniques lower data acquisition costs, implementation time and overall system support costs.