Bringing you live news and features since 2013
Bringing you news, views and analysis since 2013
Chris Walsh, AcadiaSoft

29906

Nordea engages AcadiaSoft for initial margin backtesting and benchmarking

RELATED TOPICS​

Nordic bank Nordea is to outsource its initial margin (IM) backtesting to AcadiaSoft, a provider of risk and collateral management services for the non-cleared derivatives community.

AcadiaSoft’s IM Backtesting and Benchmarking Service was launched in 2018 as part of its partnership with Quarternion to provide risk services for firms subject to IM requirements for the non-cleared derivatives market.
 
“Initial margin backtesting and benchmarking is one of the more complicated requirements of the uncleared margin rules,” says AcadiaSoft CEO Chris Walsh (pictured). “We’re pleased to work with Nordea to ensure that they are in compliance with the rules and to help mitigate the drain on internal resources. This service is a prime example of our commitment to provide the industry with standardised, cost-effective solutions to ease the burden of ever-evolving regulations.”
 
AcadiaSoft’s IM Backtesting and Benchmarking Service helps firms meet the requirements for ISDA SIMMTM validation by providing both back-testing of SIMM over a historical period and benchmarking SIMM against three industry-standard risk methodologies. Outsourcing this complex reporting allows firms currently in-scope for the uncleared margin rules to further reduce costs and improve efficiency.
 
“Complying with the uncleared margin rules under ISDA SIMM can be a complex task requiring a potential drain on internal resources,” says Michael Kjørtsholtsen, Head of Risk Control at Nordea. “However, our decision to outsource the static IM Backtesting & Benchmarking reporting to AcadiaSoft has proven to be an efficient solution for Nordea. It is possible to use the reporting as documentation of compliance with IM backtesting and benchmarking requirements to regulators.”
 
The IM Backtesting & Benchmarking service is part of a growing suite of services designed to help firms comply with regulations by outsourcing the complex and challenging aspects of calculating IM and the adoption and monitoring of SIMM to AcadiaSoft.

Latest News

According to the latest ESG data from PwC Luxembourg finds that investment flows towards EU..
Solactive and private equity data provider CEPRES have established a new partnership for to introduce..
New research published today by the CFA Institute Research and Policy Centre analyses the many..

Related Articles

Pension funds
UK defined benefit (DB) pension plan sponsors could have access to GBP 1.2 trillion in surplus assets over the next decade, industry research reveals...
UK defined benefit (DB) pension plan sponsors could have access to GBP 1.2 trillion in surplus assets over the next..
Tim Crawmer, Payden & Rygel
Tim Crawmer and Frasat Shah of Payden & Rygel write that higher yields are attracting more demand from investors. Also, given that equities had a strong year last year, big funds have taken some chips off the table in equities and put them into fixed income...
Tim Crawmer and Frasat Shah of Payden & Rygel write that higher yields are attracting more demand from investors. Also,..
Lady justice
Top marks for the Pensions Regulator (TPR) whose efforts to improve resilience in the UK pension funds’ liability-driven investment (LDI) strategies received glowing commendations from the Bank of England in its March report...
Top marks for the Pensions Regulator (TPR) whose efforts to improve resilience in the UK pension funds’ liability-driven investment (LDI)..
Pension funds
Four potential operators of pensions dashboards (Just Group, Legal & General, Moneyhub and Standard Life, part of Phoenix Group) are coming together to instigate a new industry coalition...
Four potential operators of pensions dashboards (Just Group, Legal & General, Moneyhub and Standard Life, part of Phoenix Group) are..
Subscribe to the Institutional Asset Manager newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by