Banking
The right IT to manage and quantify risk
Risk management works most effectively with the right IT. In other words: powerful systems that focus on data quality and accurate early warning systems that take credit, market and operational risks into account, pinpointing them before it’s too late. GFT assists you in deploying risk management solutions geared to your risk management strategy.
Risk: a major activity and a major source of income for financial institutions. In fact, a bank’s success hinges on its ability to understand and manage risk. So assets are quantified using value-at-risk (VaR). And when they evaluate risk and limit management issues, calculate capital requirements or manage financial or systemic risk, banks tend to look at overall market risk.
This, however, is not the whole picture. Calculating the historical volatility of a portfolio’s market value only provides a retrospective indication of risk. Clever market participants learn from the past and understand that risk in itself is not a bad thing. It is only misplaced, mismanaged, misunderstood or unanticipated. And then it can be fatal.
GFT assists you in deploying risk management solutions that support your risk management strategy and fulfil your risk and business objectives while meeting your budget goals.
In tangible terms this means putting a financial institution’s operational database under the microscope. Most often, it was not designed to track large quantities of historical data. Yet for the sake of real-time risk management, an organisation can incorporate trade transactions automatically into the very latest market and external data. This is where GFT will help you streamline individual records, improve the quality and correctness of risk analysis and reporting, and increase the efficiency of overall data flows and design systems that meet today’s and tomorrow’s requirements.
Some of our projects in risk and portfolio management have entailed:
This, however, is not the whole picture. Calculating the historical volatility of a portfolio’s market value only provides a retrospective indication of risk. Clever market participants learn from the past and understand that risk in itself is not a bad thing. It is only misplaced, mismanaged, misunderstood or unanticipated. And then it can be fatal.
GFT assists you in deploying risk management solutions that support your risk management strategy and fulfil your risk and business objectives while meeting your budget goals.
In tangible terms this means putting a financial institution’s operational database under the microscope. Most often, it was not designed to track large quantities of historical data. Yet for the sake of real-time risk management, an organisation can incorporate trade transactions automatically into the very latest market and external data. This is where GFT will help you streamline individual records, improve the quality and correctness of risk analysis and reporting, and increase the efficiency of overall data flows and design systems that meet today’s and tomorrow’s requirements.
Some of our projects in risk and portfolio management have entailed:
defining and deploying a market risk solution at a German investment bank
creating management and reporting applications that adhere to Basel II
risk monitoring, reporting and workflow optimisation in the credit process
reviewing the operational risk of client service, credit, clearing and settlements activities for a major European bank
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