San Francisco, CA, July 28, 2009 – Calypso Technology, Inc, a global application software provider of an integrated trading and risk management application suite to the capital markets industry, today announced that it has integrated BondOAS™, a market standard in callable bond analytics, from Andrew Kalotay Associates, Inc. The partnership expands the automated functionality of the cross-asset, front-to-back office Calypso platform.
BondOAS™ allows the Calypso Trading and Risk Management Platform to accurately and quickly value fixed rate, step-up coupon and amortizing bonds with embedded calls and puts. Andrew Kalotay Associates is a recognized leader in capital markets analytics for their proprietary models, which produce accurate results with excellent computational speed. Calypso's integration of BondOAS will allow these market standard analytics to be used in all Calypso features including pricing, P&L analysis, risk measurement and management. BondOAS produces option-adjusted spread (OAS) given price or price given OAS, along with risk measures such as effective duration, convexity and DV01 that are instrumental in comparative valuations and hedging.
"In the current turbulent markets where speed and transparency are key, bond traders and risk managers need a reliable cross-asset platform for trading, powered by well-tested, widely accepted models. We are excited to have partnered with Andrew Kalotay to provide seamless access to market standard analytics," states Pieter Hamman, Vice President, Business Development, Calypso Technology. "Providing connectivity to leading market standard providers is an important part of our support for our customers’ objectives to achieve automated end-to-end processing."
"We are very pleased to be working closely with a market leader, Calypso Technology, to provide streamlined integration with our analytics," comments Andrew Porter, Managing Director, Andrew Kalotay Associates.
About Andrew Kalotay Associates, Inc.
Andrew Kalotay Associates, Inc. is a leading provider of high-precision, high-speed fixed income analytics and debt management advisory services. AKA’s clients include banks, trading and risk management software vendors, data service providers, rating agencies, asset management firms, as well as fixed income exchange traded fund (ETF) sponsors. The firm is soon to receive a patent for its CLEAN™ MBS valuation and prepayment model.
Tuesday, July 28, 2009
Friday, July 24, 2009
Eurex Clearing Partners with Calypso for OTC Derivatives Central Clearing
- Eurex Clearing Partners with Calypso for OTC Derivatives Central Clearing
Eurex Clearing to launch Eurex Credit Clear, its central clearing solution for CDS to industry - Calypso Technology provides leading technology for trade and risk management processing in OTC derivatives
San Francisco, CA, July 24, 2009 – Calypso Technology, Inc, a global application software provider of an integrated trading and risk management application suite to the capital markets industry, announced today that Eurex Clearing, Europe’s largest clearinghouse, has partnered with Calypso Technology to support the firm’s new central clearing service, Eurex Credit Clear, for OTC credit default swaps (CDS).
Dr. Thomas Book, member of the Eurex Executive Board responsible for clearing explains, “We are always looking for innovative ways to expand our central clearing offering and leverage our risk expertise with powerful technology solutions. We are confident that together with the Calypso application we will offer a sound, reliable and flexible engine to deliver central clearing initially for credit derivatives and subsequently also for further OTC traded asset classes.”
As the industry moves toward reducing counterparty risk through centralized clearing, Eurex Clearing has remained at the forefront of this movement as a leading provider of central clearing for OTC derivatives. Eurex Clearing acts as the central counterparty by becoming counterparty to every transaction, netting gross market risk and margining open positions to mitigate counterparty risk. Its new OTC derivatives clearing service improves market stability on a global scale – enhancing transparency and regulatory reporting as well as reducing systemic risk for the financial market as a whole.
The implementation of the Calypso-based solution was completed in less than four months, leveraging Eurex Clearing capabilities as well as Calypso Professional Services and Calypso Fast-Track, a market standard solution aimed for controlling the costs, risks and timelines associated with implementing new trading and risk applications. Eurex Clearing completed full implementation in March 2009 and is running the service simulation with more than 20 potential clearing members. Market launch will take place by July 31st 2009, to support the implementation of the industry self-commitment given by nine major market participants to the European Commission to use a European CCP for European CDS products.
The initial product scope covers a European CDS product suite of the iTraxx® Benchmark indices and 17 single name iTraxx® index constituents from the utility sector. In a next step, further European single names will be added to provide full coverage of the iTraxx® Benchmark index constituents. The Calypso application acts as the underlying technology supporting the clearing service for CDS.
In addition, Eurex Clearing developed a risk management solution specifically tailored to the requirements of OTC CDS clearing, which is based on the Calypso ERS Risk module – an approach that accounts for the specific risk characteristics of individual CDS Index and CDS products. It applies sophisticated, market-proven risk analytics (an incremental risk check service) to determine whether a trade should be accepted for central clearing. Eurex Clearing plans to expand the risk management services to additional asset classes over time according to market demand.
Dr. Book, Eurex Clearing, adds, “With the fast implementation of the Calypso application, we have been able to respond quickly to market and regulatory demands to provide a central clearing service for OTC derivatives. The Calypso based solution provides us with additional advanced risk management capabilities supporting our state-of-the-art risk margining methodology as well as market standard pricing models; not just for credit but covering all asset classes.”
Charles Marston, CEO of Calypso Technology, says, “Eurex Clearing is our first client to deploy the Calypso software system to support the launch of an exchange service. We’re very excited to be working with Eurex Clearing on this groundbreaking new development for the derivatives market. We remain at the forefront of innovation for the derivatives market and are partnering with leading market participants to help usher in a new era in derivatives trading.”
About Eurex Clearing
Eurex Clearing is the largest European Central Counterparty and one of the world’s leading clearing houses offering central counterparty services for instruments traded on Eurex, Eurex Bonds and Eurex Repo as well as the Frankfurt Stock Exchange (Xetra® and floor trading) and the Irish Stock Exchange. Central counterparty clearing services provide effective risk management and strengthen financial market integrity. Eurex Clearing is a wholly owned subsidiary of Eurex Frankfurt AG and is jointly operated by Deutsche Börse AG and SIX Swiss Exchange.
Wednesday, July 15, 2009
Calypso Releases Version 11 to Support Changes in Financial Services Industry
- V11 includes powerful enhancements to front-office with a focus on real-time risk management and improved cross-asset functionality
San Francisco, CA, July 15, 2009 – Calypso Technology Inc, a global application software provider of an integrated trading application suite to the capital markets industry, today announced the release of Calypso Version 11 (V11) of the firm’s trading and risk management platform. The new version provides refined repackaging, consolidation and rationalization of Calypso’s existing and new functionality. Highlights include major enhancements to front office support, real-time risk management and expanded product coverage.
Calypso provides a leading cross-asset, front-to-back office system used by global banks, investment managers, hedge funds, insurance firms and corporates for managing derivatives and treasury products. Calypso V11 was developed to address industry challenges for real-time decision support and coordinated risk functions as well as the need to cope with increasing volume of flow business and associated increases in trade events.
“As the financial services industry undergoes a paradigm shift, we are releasing this much anticipated version of our platform in order to help our clients remain ahead of the curve,” says Charles Marston, CEO of Calypso Technology, Inc. “Financial institutions today are focused on improving risk management and increasing efficiency, performance and scalability to meet cost reduction objectives. We developed V11 with these requirements in mind and are working closely with our clients across the globe to ensure they meet these goals.”
V11 addresses industry challenges with extensive front-office enhancements to deliver real-time integrated risk and P&L, plus straight through processing functionality to manage the challenges of increased trade volumes. V11 has expanded product coverage across asset classes and enhanced overall system reliability and performance. By leveraging V11, clients will benefit from faster, more integrated end-to-end processing, quicker access to information for real-time decision support, and the ability to transform trade ideas into trades captured and executed.
Specific enhancements include:
- Powerful new cross-asset P&L functionality: to meet the varied needs of traders and controllers, the latest enhancement is a formula-based approach that enables intraday P&L monitoring based on user specifications and complete measures for official reporting. Users can select from out-of-the-box P&L measures across asset classes, or from customized sets of marks to analyze different organizational objectives. Additionally V11 offers P&L lockdown and adjustments with full audit
- Front office enhancements: Calypso Workstation has been enhanced to provide positions, risk, P&L, market data and trading all in one screen. Customers can also now use out-of-the-box market standard risk analysis, view configurations, conduct ‘what-if’ trade and market data simulations, and control the majority of the analysis through Calypso Workstation.
- Risk Designer: Real-time risk analyses have been integrated into Calypso Workstation, enabling users to create simulations as well as conduct sensitivity and cash flow analysis using a simplified and intuitive approach.
- Enhanced asset class coverage: Calypso provides a revamped front-end option pricing and trading screen for equity derivatives. This benefits from an updated option pricing framework that leverages the eXSP payoff language designed to let users define a wide range of options using standard models or their own payoff strategies. The Calypso FX Option solution uses the enhanced Pricing Sheet where traders can create custom packages and structures.
- Improved performance and scalability: Calypso has benchmarked its solution to ensure optimal reliability and performance to meet and exceed customer requirements and market demands. Calypso has also been enhanced to handle high trade volumes, providing coverage for all market standard product types.
- Back office enhancements: Calypso has enabled functionality for automated electronic novation support. It has also enhanced the collateral management product, including default access to collateral blotter and additional data on reports. Calypso Hedge Accounting has also been expanded to offer more flexible hedge definitions with clear indication of Hedge Strategy and Relationships in addition to more comprehensive fair value measurement.
Gerard Rafie, Senior Vice President of Product Management, Calypso Technology, Inc., says, “V11 captures the spirit of Calypso’s product strategy and evolution. We have always focused on expanding the platform’s product breadth and functionality while still delivering top performance, a fluid user experience, and flexible, easy implementation. We continue to expand the platform and remain dedicated to offering our clients the richest, most robust solution available in the industry today.”
Monday, July 6, 2009
Standard Bank International Goes Live with Calypso for Cash Management
- Centralized cash management platform improves efficiency
- Innovation in securities settlement brings competitive advantage
San Francisco, CA, July 6, 2009 – Calypso Technology Inc, a global application software provider of an integrated trading application suite to the capital markets industry, announced today that Standard Bank International, a leading emerging markets bank with operations throughout the world, has gone live with the Calypso system for cash management. In addition, the bank has already started expanding usage of the Calypso platform by adding securities processing capabilities.
Standard Bank International has adopted the Calypso platform as a centralized solution for the firm’s London cash management business. The Calypso cash management solution manages the bank’s cash flow projections in real-time and users are able to monitor and explain balance composition. Peter Hosier, Head of Operations, International at Standard Bank, comments, “With the Calypso system, we have been able to implement a number of control levels to reduce operational risk and address our compliance needs in a more effective manner. At any given point in time, a senior manager is able to view the bank’s cash positions on a consolidated level.”
Standard Bank International is looking to further consolidate its back-office operations by adding securities processing to the Calypso platform. By reducing the number of systems and interfaces being used, the firm will benefit from significant cost savings as multiple asset classes are supported by the Calypso system. The centralized approach improves operational efficiency and reduces operational risk as processing is focused on managing exceptions according to a pre-defined set of controls.
Hosier adds, “The Calypso solution is a perfect match for Standard Bank International’s ambition to bring innovative products to the market which has always been our competitive edge. As an example, we have worked with Calypso on a greenfield development to provide key functionality for TRAX2 reporting and matching as well as Tri-Party Repos.”
Charles Marston, CEO of Calypso Technology, says, “Standard Bank International is another example of a client where our relationship has evolved over time to cover multiple products and business areas, all supported on the Calypso platform as the foundation for the firm’s infrastructure. Our successful partnership with Standard Bank International is rooted in our ability to support the bank’s ambition to enter new emerging markets while adopting advanced technology. We are committed to working closely with clients to deliver innovative solutions.”
About Standard Bank International
Standard Bank is a leading African banking group focused on emerging markets globally. The Corporate & Investment Banking division provides banking, finance, trading, investment, risk management and advisory services to larger corporates, financial institutions and international counterparties in developing economies around the world.
Subscribe to:
Posts (Atom)
Posts
