20 April 2018
Visit http://response.ncr.com

Codefarm applies technology to credit portfolios

16 December 2004  |  1722 views  |  0 Source: Codefarm Software

A new generation of portfolio optimization software is now being made available on licence to the wider investment community following its exceptional performance with a select group of global investment banks. Higher returns accompanied by time and resource savings have resulted from early commercial deployments of Galapagos software developed by evolutionary computing specialists, Codefarm.

Codefarm Managing Director Jeremy Mabbitt commented: "This first application of our technology to credit portfolios is a fresh approach which has now proven its commercial value and is ready to be licensed. The response from financial organisations is extremely enthusiastic and we anticipate rapid take-up."

Evolutionary computing provides a radical way to solve highly complex numerical and combinatorial problems without needing to make unrealistic simplifying assumptions. It mimics the processes of biological evolution by trialling solutions in the target environment - in this case portfolio optimization - selecting the fittest candidates and using techniques analogous to genetic recombination and mutation to evolve next generation solutions towards optimal performance. Making performance the fundamental driver in software development has enormous appeal in financial and other industries where objectives, such as maximising portfolio returns, can be met within the required timescales. This gives a real competitive edge in an environment of increasingly pressured deadlines and tight profit margins.

Mabbitt explained: "Credit derivatives groups within investment banks need to respond rapidly to their clients' requests, and be able to structure high-yield products which take into account a range of complex constraints. Harnessing the power of a bank's compute grid, Codefarm's Galapagos platform is capable of automatically structuring live trades with higher returns than those achieved with manual methods. Galapagos can deliver optimal products within intraday timescales - a task that previously took highly skilled structuring staff several days."

Codefarm's technology is readily scalable on any compute grid and is designed to work with existing models and processes without disrupting or modifying them in any way.

Comments: (0)

Comment on this story (membership required)

Related company news

 

Related blogs

Create a blog about this story (membership required)
Visit http://wup.digitalVisit http://response.ncr.comhttps://www.capgemini.com

Top topics

Most viewed Most shared
Competing in an increasingly competitive spaceCompeting in an increasingly competitive s...
10737 views comments | 1 tweets | 2 linkedin
Revolut launches spare change savings toolRevolut launches spare change savings tool
9322 views comments | 14 tweets | 19 linkedin
Westpac and CommBank hit back at Aus Open Banking plansWestpac and CommBank hit back at Aus Open...
8532 views comments | 9 tweets | 8 linkedin
Barclays Bank sets up tech venture unitBarclays Bank sets up tech venture unit
8083 views comments | 16 tweets | 22 linkedin

Featured job

Basic c. EUR 90K OTE c. EUR 180K plus full bene...
Paris (preferred) or London

Find your next job