Reuters is partnering with i-flex analytics subsidiary Reveleus to provide technology capable of delivering a single view of risks across the banking enterprise, from the trading room to administration and operation.
The partners say the alliance will bring together Reuters expertise in the trading books and Reveleus' capability in analytical applications for the banking book.
At the data level, the aim is to provide an enterprise-wide risk view that includes credit, market and operational risk and allows monitoring, reporting and limits management across the banking and trading book. This will be backed up by an array of computational models for managing risk and regulatory capital and provision for comprehensive, standard and customised compliance reporting, say the vendors.
The capability will be delivered through interfaces between Reuters Kondor Global Limits, Reuters Kondor Value at Risk and Reveleus Analytics for Risk. Present enhancements, already underway, aim to expand Reuters Kondor Global Limits coverage across both the trading and banking books. Reveleus Risk Analytics will then feed off Reuters' data outputs to provide credit, market and operational risk insights across the global book.
Michael Haney, senior analyst with Boston-based research firm Celent, says banks are looking for solutions that can address the risk management needs of both their banking and trading books but historically have been forced to implement software on a piecemeal basis from specialist vendors.
"A combined approach would better meet the requirements of banks looking to migrate towards an enterprise risk management framework and incorporate risk management into their business and financial decisioning process," he says. "Leveraging their expertise in data management, real-time risk monitoring, and analytics, Reuters and Reveleus are joining forces to address this growing market trend."