SunGard today announced that London-based ED&F Man Holdings Limited has selected the Kiodex Risk Workbench to support its recently launched commodities trading business, part of the ED&F Man Commodity Services Division, in New York City. The Kiodex Risk Workbench is a Web-based commodities risk management solution that integrates deal capture, proprietary valuation models, risk reports, and independent market data that includes representative prices, volatilities and volatility skews across the spectrum of commodity markets.
ED&F Man Holdings sources, delivers, and distributes agricultural products including sugar, molasses, cocoa, coffee and alcohol. In order to help it to launch a commodities trading business this spring, Kiodex was selected to help the new business create a streamlined and efficient commodities trading operation.
ED&F Man chose SunGard’s Kiodex to help expedite the start-up process for the commodities trading unit with the appropriate risk measures and operational controls in place. As a pre-configured, Web-based solution, Kiodex is easily deployed, helping enable rapid time-to-market. Kiodex’s ability to perform robust risk analysis with on-the-fly VaR and what-if scenarios was also an important feature to the ED&F Man Commodity Services Division, particularly for demonstrating a deep understanding of its trading portfolio and its financial exposures to its holding company.
Bernadette Fiascone, finance director of the ED&F Man Commodity Services Division, said, "SunGard’s Kiodex has been able to provide us with a platform that will help us to smoothly and cost-effectively support the launch of our new trading operation. Its cross-commodity class coverage and set of risk analytics specifically designed to handle the intricacies of commodities trading helps us to manage our business with greater operational efficiency and a better understanding of our positions."
Thomas Farley, president of SunGard’s Kiodex business unit, said, "We are very pleased to have this opportunity to support the risk management function of one of the world’s largest participants in coffee, cocoa and sugar. Kiodex is well suited for all commodities, including the wide range of traded agricultural products."