Raiffeisen Zentralbank Österreich AG (RZB), a leading bank in Central and Eastern Europe, has selected SunGard's Kiodex Risk Workbench.
RZB will use Kiodex to help support its planned growth in the region, which includes the launch of a new commodity derivatives trading business. SunGard's Kiodex Risk Workbench is a Web-based commodities risk management solution that integrates deal capture, valuation models, risk measurement, financial reporting, and independent market data. The market data includes forward curves, volatility surfaces, volatility skews and correlations across the spectrum of commodities.
RZB will use Kiodex's commodity-specific models, market data and system to help enhance the service it offers its clients by providing them with quotes on swaps and options. It will then use Kiodex to capture and to track the position of its client trades. Each day, Kiodex provides more than 325 forward curves, volatility surfaces, and correlation term structures ranging in duration from one to seven years.
Nicolaus Hagleitner, global treasurer of RZB, said, "As a 'turnkey' solution delivered on an SaaS basis, SunGard's Kiodex will help expedite our plans for launching a new commodity business so that we can quickly leverage our commodity risk management expertise to provide enhanced services to our clients across the region. Kiodex's integrated OTC market data will help us to provide instant price quotes on a broad range of commodity swaps and options. Additionally, Kiodex's commodity specific models and comprehensive suite of risk and P&L reports will help ensure the accuracy of our pricing and risk analyses, thereby enhancing overall operational efficiency and risk management."
"We are pleased that RZB has chosen Kiodex as a critical aspect of its new business launch," said Ben Jackson, chief operating officer of SunGard's Kiodex business unit. "Kiodex's SaaS framework will help RZB to implement the solution faster than a traditional client/server solution, and to streamline its commodities trading operation. It will also help it to gain efficiencies and profitability in delivering ne new services to clients, while enriching the bank's best practices for risk management."