Capital Markets Solutions

Middle Office & Trading Risk

Integrated risk analytics and compliance management platform to make faster and better trading decisions

Firms are trading ever larger derivatives volumes as they address new market demands and incorporate financial innovations. The total cost of trading is also increasing driven by larger trading volumes and, in addition to existing XVA spread and margin requirements, new complex regulations such as Basel III’s FRTB and SA-CCR. In this challenging environment, it is a strategic imperative that firms can estimate –during the pre-trade phase –the impact of a trade on their market, counterparty credit, or liquidity risk profiles. Having this intelligence prior to executing a trade is key to running a profitable and compliant trading business. Firms are trading ever larger derivatives volumes as they address new market demands and incorporate financial innovations. The total cost of trading is also increasing driven by larger trading volumes and, in addition to existing XVA spread and margin requirements, new complex regulations such as BaselIII’s FRTB and SA–CCR. In this challenging environment, it is a strategic imperative that firms can estimate –during the pre–trade phase –the impact of a trade on their market, counterparty, credit, or liquidity risk profiles. Having this intelligence in advance of executinga trade iskey torunning a profitable and compliant trading business.

How do you keep pace with increasingly complex global risk and regulatory mandates, while managing costs?
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Our Solution

Our cloud-enabled platform enables users to benefit from a real-time, 360° view of trading portfolio risk profiles underpinned by comprehensive internal and regulatory credit, market, and liquidity risk analytics.

In addition to generating official end-of-day (EOD) metrics and reports, we enable intraday risk monitoring, real-time pre-deal limits checks, what-if simulations, and stress scenarios. We provide a risk, P&L and liquidity management solution for cross asset, cleared and uncleared businesses. It allows users to better price and hedge their risk exposures and to forecast their funding and capital needs. With our middle office and trading risk platform you can optimize profitability in a world of volatile markets and ever-changing regulatory environment.
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Market Risk Analytics
XVA
Initial Margin
Counterparty Credit Risk Analytics
Profit & Loss
Limits & Compliance

Market Risk Analytics

We provide a complete range of intraday and EOD analytics to assess your portfolio market risk and provide corresponding metrics to regulators. Natively integrated with our front-office solution, these analytics enable consistent FO pricing and risk measures.

Key risk metrics include:

  • VaR and expected shortfall (ES) models: parametric, historical, and Monte-Carlo
  • Stress MTM, P&L, sensitivities, scenarios and risk attribution
  • Configurable confidence levels, EWMA filtering, kernel smoothing
  • Incremental, marginal, upside VaR, what-if
  • Absolute and relative VaR vs.reference benchmark
  • Backtesting using hypothetical or actual P&L approaches

Key market risk analytics for FRTB include:

  • Centralized calculations across trading systems
  • Regulatory delta, vega, and curvature sensitivities
  • Default risk charge and residual risk add-ons
  • Support of national/jurisdictional discretions
  • UMR- and FRTB-compliant backtesting
Exposure at default (EAD)measuresbased on CEM, SA–CCR,and MC–PFEmethodologies•Native integrationwith our front–office (FO) solution that enablesconsistentFO, risk, and derivative pricing•Collateral information integrated to enable comparison ofcollateralized anduncollateralized exposures such as EE, EPE, ENE, and PFE•Marginal allocation of portfolio EAD per netting set, per trade incremental calculation, and pre–trade simulation

Why Calypso Middle Office & Trading solutions:

Natively integrated with Calypso's front-to-back platform

Our trading risk metrics are consistent with the front-office pricing engine by design. This significantly reduces implementation and reconciliation time and effort.

Regulatory analytics embedded in daily trading decisions

With access to regulatory metrics in intraday, real-time, and pre-deal check limits,we enable you to better capture and cascade regulatory cost and guidelines inside your organization.

360 holistic view of trading risk

We provide a comprehensive view of your trading portfolios’ risk profiles that combines internal and regulatory credit, market, and liquidity risk analytics.

Performant, scalable grid computing infrastructure

We leverage state-of-the-art technologies to provide the level of performance and quick response times your front-office users expect.

Real-time pre-deal limit checks

We deliver the ability to concurrently check new trades prior to executing them.

Interoperability via REST APIs

Using REST APIs, you can remotely control calls to the Calypso platform from other software – to produce regulatory analytics, read current limits usage, or perform pre-deal limit checks – for enhanced operating flexibility.

Cloud ready

Whereas our solutions can be utilized on-premises,they are designed to fully leverage the computing capabilities and benefits of a cloud deployment.

Capital Markets Solutions

Front Office

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Treasury

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Middle Office & Trading Risk

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Collateral, Margin & SecFinance

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Clearing

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Post-trade Processing

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"It was an informative and compact training program. Ram covered all the areas of the course brilliantly. Also had the opportunity to discuss queries on the go, those were answered promptly.

All the topics were just great, I found it all right. I am sure the practice sessions in training would help the team put them to use in future projects"

Akhilesh S.
LSEG (London Stock Exchange Group)

“Despite having spent quite a few years as a Calypso developer, I still got a lot out of this training. It was enlightening and helped us delve deeper into some exciting details about Calypso. I would like to emphasize the excellent didactics with practical and objective exercises. Undoubtedly, I improved my analytical perception of operations and lifecycles. The Getting Started with Calypso module definitely provides a satisfactory roadmap.”

Samuel L.
Exadel Financial Services (formerly CPQi)

“What an amazing week it was! The course covered an introduction to Calypso architecture, and dived into details of static data setup, workflow, and trade lifecycles, including pricing environments. I would like to express my thanks to everybody from Adenza for this opportunity and teaching me a lot of important things for my work routine.” 

Marcelo Y.
Mark2Market (Qaracter)

“The training was enriching and a very well designed program. There was a new theme each day, with a series of exercise adapted to each theme. The trainers Nima and Dominic were professional and attentive. They gave ample amount of time to each participant. They provided a simple explanation, illustrated with examples in calypso. The quiz at the end of each day, was helpful to test our skills ‘’

ExpertEase Partners

Financial market capabilities continue to evolve, requiring agile, cloud ready, digital offerings supporting cross-asset and front-to-back solutions. Our global partnership with Adenza leverages our complementary strengths to deliver world class offerings. Adenza’s software suite coupled with Wipro’s advisory and delivery capability accelerates our clients’ transformation journeys to improve front office, post-trade and risk management capabilities, with reduced TCO and superior customer experience. This partnership underscores our commitment to provide scaled up end-to-end propositions to our joint clients within financial services.

Harpreet Arora
Vice President, Managing Partner & Global Head, BFSI Consulting, WIPRO

NOA is the implementation partner for Calypso in South Korea for more than 18 years. NOA has helped clients transform and manage their front to back operations, risk, collateral and treasury management using the Calypso platform. Our strong partnership has enabled us to build a Calypso practice of over 30 practitioners and we are continuously investing in our Calypso practice’s capabilities to address our client’s evolving needs

DongHyun Eom
CEO, NOA ATS