Pyxis Systems, a provider of technology solutions and services to the global financial derivatives industry, has announced the launch of its web-based prcing and management tool Ionpot. Pyxis says it is the first Asian company to provide a web-based solution for financial derivatives.
Ionpot allows the user to price, save and mark-to-market various interest rates and forex derivative instruments.
The solution is accessed via the internet using industry standard security protocols and frees the user from installing and maintaining expensive risk management infrastructure. Ionpot is powered by RisKompass, a comprehensive derivatives risk management system developed by Pyxis Systems.
This product may help the derivatives markets meet the recent RBI guidelines which states that all banks and primary dealers of derivatives should come out transparent on the pricing and expected impact of derivative transaction on the users. Also it requires the users (corporates) to be provided a calculator to mark-to-market these products on an ongoing basis. Ionpot will give market the required analytics models to price several derivatives trade.
"Ionpot is a far superior solution than just providing a valuation calculator. The valuation of the derivatives instruments not only requires model but also needs credible market data. Ionpot provides both the components. Ionpot has tied up with large international brokers like Tullet Prebone, besides local brokers and banks, to get these data. Besides this, Ionpot also allows the trades to be stored in a portfolio and gives mark-to-market value of individual trades with a click of a mouse 24X7", said Nandlal Bhatkar, Founder & CEO of Pyxis Systems.
Some key features of Ionpot:
- Real time market data feed
- Flexible and customizable market data view
- Real time pricing for interest rate, forex derivatives and strategies
- Organization wide portfolio view, mark-to-market and analytics
- New generation interactive user interface for fast and easy operations
"Ionpot is a great & high utility product for Indian Corporates who resort to derivatives markets. It prices not only several option strategies and strips but also handles local product like Overnight Index Swaps. The live market feed for b both local and international market makes it a very valuable product", said K Rajaram, Head Forex and Risk Management, Arvind Mills.
Ionpot is aggressively priced and is available on an annual subscription basis. It addresses the most common needs for a wide segment of the Indian markets (especially corporates) that are using derivatives for hedging. Ionpot is already in use by over a dozen users who started as trial users of the system.
According to RK Das, Senior VP, Treasury, Adani Enterprises Limited, "Ionpot provides the flexibility and the analytical coverage needed to accurately price many of the derivatives used by us. We are extremely happy with the intuitive user interface and the simplicity with which we can price the deal and do mark to market of the entire portfolio".
Pyxis also offers other value added services to the users such as VaR analysis of the portfolio, hedge effectiveness calculations etc. Pyxis plans to expand the footprints of Ionpot to SE Asia and other countries in the next 1 -2 years.