APT How to Better Manage Risk by Outsourcing Risk Measurement. London 11 June 2014

Transcription

1 APT How to Better Manage Risk by Outsourcing Risk Measurement London 11 June 2014

2 SunGard APT How to Better Manage Risk by Outsourcing Risk Measurement Benoit Louis Head of managed Services SunGard APT

3 Risk Measurement vs Risk Management 1. Risk Management is a process for identifying, assessing and prioritizing risks of different kinds and defining plans to minimize or eliminate such risk. 2. Risk measurement is the specialized task of quantifying and communicating risk. 3

4 How important is Risk Measurement Risk measurement helps in: Uncovering known risks faced by the portfolio or firm Making such know risks easy to see, to understand and to compare Trying to understand and uncover unknown risk Critical to effective Risk management 4

5 What are the main inputs Quantitative risk models risk metrics Data Portfolio holdings Assets T&Cs Market data Benchmark Functionality Visualisation Data storage Threshold management Operation Integration Risk Reports Validation 5

6 Risk Measurement Process Data In Processing Data out 6

7 Risk Measurement workflow Data In Identification of all required data (market, portfolios, T&Cs, benchmarks, transactions, etc ) Extraction of the data Transformation and normalisation of the data Validation of portfolios (values, weights, rejects, etc..) Proxy implementation 7

8 Risk Measurement workflow Processing Batch setup: Content, frequency, scope Job processing and monitoring Incident management Batch validation Distribution of results 8

9 Risk Measurement workflow Data Out Multiple report types (internal, clients, regulators) Multiple formats PDF, XLS, CSV, XML Selection of reports, required models and benchmarks Thresholds management Results validation 9

10 Challenges Complex requirements Increasing regulations Operational expertise Technology evolution Pressure on costs 10

11 APT Managed Services APT Risk Reporting Services Risk Validation Custom and Regulatory Reports Raw Data Interactive Visualisation APT PRO Batch Operation Analytics Grid Monitoring Data Management Risk Report Engine Results Repository APT Enterprise Data Validation Portfolio and Benchmark Data Market Data and Securities Master Data Integration External Providers Internal Systems Market Data providers 11

12 Benefits of Business Process outsourcing Create Agile Growth Operating model fulfilling business requirements Support continuous innovation Enable best practice Empower growth 12

13 Benefits of Business Process outsourcing Run a more efficient organisation More resources freed-up for higher added value tasks Processes automation reducing errors Faster time to market Service delivered by true subject matter experts Scalability 13

14 Benefits of Business Process outsourcing Improve cost management More resources freed-up for higher added value tasks Reduce total cost of ownership (Capex vs Opex) Clear pricing structure linked to required services and scope 14

15 How can SunGard APT help its clients? Risk Data Management Batch Processing Risk Reporting 15

16 APT Risk data management Hosted data management Integration into clients systems Sourcing of core market and static data via SunGard Sourcing of non-covered market data from client s systems Quantitative and qualitative validation of data collected Automatic proxying of non-covered assets Custom override, proxying and modelling of assets at position and portfolio levels Upload into interactive application APT PRO 16

17 APT Batch Processing Batch setup Scheduled job management On-going monitoring Proactive incident management Automated alerting systems Service Level Agreement Low to High volume and frequency processing Multiple environnements (UAT, Pre-Prod, PROD) Archiving of results Flexible and rapid change management 17

18 APT Risk Reporting Library of reports (standard, regulatory) Custom reporting Interactive reporting Multiple format PDF, XLS, CSV and XML Storage of results Trending Thresholds management Results validation Results analysis and commentaries 18

19 APT Managed Services APT Risk Reporting Services Risk Validation Custom and Regulatory Reports Raw Data Interactive Visualisation APT PRO Batch Operation Analytics Grid Monitoring Data Management Risk Report Engine Results Repository APT Enterprise Data Validation Portfolio and Benchmark Data Market Data and Securities Master Data Integration External Providers Internal Systems Market Data providers 20

20 QUESTIONS?