Sun Microsystems and Toronto-based Algorithmics have announced plans to strengthen their relationship in a bid to assist financial firms in complying with the forthcoming Basel II regulations on risk management.
Under the partnership, the companies have conducted benchmark tests on Algorithmics' risk management system Algo Credit at the Sun Lab benchmarking centre in Paris.
Running on Sun's F15K with 48 CPU, Algo Credit processed 200,000 positions, 1000 scenarios and 50 time steps.
Sun is currently a partner in the Algo Lab initiative, a collaborative environment established to support various implementation stages of Algorithmic's technology. Under this arrangement, mutual prospective clients can access Sun's solutions at Algorithmics's offices in Toronto, London, New York, Johannesburg and Tokyo.
The companies are also exploring the possibilty of developing an Algo Lab 'super facility' in a larger hardware environment.
Nigel Woodward, global manager, capital markets and securities, Sun Microsystems, says: "As banks prepare to meet the future challenges of BIS II, as well as deal with risk management issues presented by current market volatility, we look to deliver optimum solutions to meet our customers' business needs. A strong relationship between Sun and Algorithmics can help deliver those solutions."