IBM
Case Studies
Applying an internal models approach to real-time counterparty risk exposures
Overview
Applying an internal models approach to real-time counterparty risk exposuresIBM |
Analytics & Modeling - Real Time Analytics | |
Finance & Insurance | |
Business Operation | |
Regulatory Compliance Monitoring | |
System Integration | |
Operational Impact
With the IBM Algo One solution in place, Intesa Sanpaolo can give its traders the ability to run what-if analyses in real time and assess the impact of each trade on the bank’s overall risk profile. | |
Unlike earlier modeling techniques such as add-on tables, the real-time credit engine of Algo One uses an incremental simulation approach to take risk-mitigating factors such as netting into account. | |
From an operational perspective, both front-office and middle-office personnel now have more time to focus on other aspects of their jobs, such as working on new projects and providing deeper levels of insight for senior managers and regulators. | |