FTEN, a provider of software and application services for financial securities firms, and Radianz, the leading global provider of financial connectivity services, today announced an expanded relationship that will now include the availability of FTEN's new Intraday RiskXposure risk management service over Radianz.
Intraday RiskXposure provides clearing firms, prime brokers, broker dealers, hedge funds and market makers with real time intraday risk management capabilities regardless of the front-end trading, order or portfolio management systems. Intraday RiskXposure requires no integration with existing systems and introduces no latency into transaction processing. Intraday RiskXposure enables firms to manage risk at an enterprise level while receiving immediate alerts of risk infractions at the correspondent, group, account and transaction level.
As a Provider on Radianz's shared market infrastructure platform, FTEN now offers its new solution for intraday risk management to the Radianz community of more than 10,000 financial services sites worldwide. In addition to Intraday RiskXposure, FTEN's global direct access order management system, MultiXchange(tm), is also available over Radianz, which gives FTEN clients the option to utilize both services over one, fully managed connection.
"As markets rebound and trade volumes increase, financial institutions are finding operational risks associated with each trade increasingly higher and more difficult to manage," said Chris Church, executive vice president, strategic client relations at Radianz. "As a result, financial institutions now require proactive risk management solutions that identify trade infractions in real-time on the same day that they occur. The new capabilities provided by FTEN are both timely and innovative, and we look forward to working with them."
"With the increase in rapid-fire trading technologies and asset managers making bolder moves into more diverse and complex securities, portfolio risk management tools are rightfully gaining attention," said Denise Valentine, an analyst with the research firm Celent. "As with any risk management approach, the ability to aggregate total portfolio or enterprise activity provides a needed view to properly assess exposures and corrective actions. The ability to automate this aggregation process speeds access to the information and to a more timely market interaction."
Ted Myerson, co-founder and president of FTEN added, "The increasing popularity of disparate trading systems, DVP and RVP transactions and multiple prime brokerage relationships, creates a situation where risk exposure, from large volume and large dollar U.S. equity transactions, is not properly managed by existing systems. Our new Intraday RiskXposure risk management service harnesses the speed of Radianz's secure and reliable network, which makes it possible for our clients to take corrective action during market hours, within the same trading day."