Swedish investment bank Enskilda Securities has implemented the Risque trading and risk management system from London-based equity and derivatives technology vendor Sophis.
Enskilda needed a system that would enable the bank to structure, trade and manage its risk for complex OTC instruments, including multi-currency baskets, and a wide range of instruments listed on the Amsterdam, Copenhagen, Frankfurt, Helsinki, London, Oslo, Paris and Stockholm exchanges.
Key factors in the decision to licence Sophis Risque were the system's ability to manage a wide range of exotic derivatives, the compatible, modern system infrastructure and the advanced risk management functionality it provides, says the bank.
Enskilda has also licensed Sophis' Financial Integration Toolkit and additional Risque workstations for its development team, allowing the market risk technologists to write new deal structures to meet the specific requirements of its OTC client trading operation.
The Financial Integration Toolkit enables users to integrate specific market data types, proprietary pricing models, new or highly structured instruments and risk scenarios. Once integrated, these new structures become immediately accessible across the organisation - by the traders in the front office, by the risk control group and by the back office ensuring secure risk management across the enterprise.
Kenneth Berglund, global head of risk control at Enskilda Securities comments: "From a trading point of view the Risque system is easy to use and the added flexibility of the Toolkit allows us to map highly complex deals into packages to meet individual client's needs and to tailor-make products for the retail market. For global risk management Risque will enable us to manage all our positions globally with the sophisticated functions that we demand."