Misys, the global financial software and services company, announced today that it has signed a solution partnership with Intex Solutions, Inc. (Intex), the leading global provider of structured fixed income data and cash flow models.
Through this agreement, its flagship solution for investment firms, Misys FusionInvest, will have the ability to connect with Intex's asset-backed (ABS), residential mortgage-backed (RMBS), commercial mortgage-backed (CMBS) and collateralised loan obligation (CLO) cash flow models and data globally with nearly 100 per cent deal coverage in the U.S., Europe, Asia and Australia.
According to the U.S. Federal Reserve, in March 2013 the outstanding mortgage debt in the U.S. stood at $13.7 trillion, which includes approximately $1.6 trillion in mutual funds, pension funds and insurance companies. Through its solution partnership with Intex, Misys will be able to meet all the demands of investment advisers, insurers, and fixed income portfolio managers across the entire value chain for mutual funds and pension funds.
The solution partnership will enable asset managers to meet investor requirements throughout all stages of the investment process. With access to pre-payment research, cash flow and deal data, asset managers can now rely on Intex and Misys to provide a wide range of market-leading functionality. This includes deal pricing and portfolio management, risk and stress testing, as well as account settlement, all in a single integrated system.
"With the integration of the Intex structured fixed income cashflow engine and deal model libraries into Misys FusionInvest, asset management firms now have the ability to leverage Intex's well-known and highly-regarded deal models directly in the Misys FusionInvest environment", states Jim Wilner, Vice President at Intex. "Intex is known for its comprehensive and accurate RMBS, ABS, CMBS and CLO deal models, covering virtually all such deals issued in North America, Europe, Asia, Australia and elsewhere around the globe. Through the integration of Intex with Misys FusionInvest, asset managers can examine multiple aspects of these securities including future cashflows, valuations and deal performancece characteristics when making crucial investment decisions."
Misys is continuing to expand FusionInvest's capabilities and asset-class coverage to meet the industry's growing demands, specifically the requirements of U.S. fixed income asset managers. The solution partnership with Intex follows the recent technology enhancements introduced earlier this year with the launch of Misys FusionInvest v7, Misys' new best-in-class solution for fixed income portfolio managers. This version benefits from state-of-the-art portfolio management, analytics and derivatives functionalities. These are integrated around a unique front-office risk architecture, leveraging the most performant in-memory database technology. By supporting the multi-curve, OIS/CSA discounting and negative interest rates, the version is fully adapted to the current market conditions and regulatory requirements. Linking to Intex's ABS and CMBS models further builds upon this momentum and expands the fixed income coverage within Misys FusionInvest.
"The majority of fixed income portfolio managers have sizeable ABS and MBS books of business," comments Sebastien Roussotte, General Manager of the Investment Management Division at Misys. "As a part of our overall product strategy we recognized the value in connecting to these datasets and retrieving static data and cash flows by partnering with an independent, market-leading firm such as Intex. ABS and MBS price, risk or asset value cannot be accurately gauged without having detailed information on a broad range of mortgages. Access to this data is vital for Misys as we provide our clients with competitive intelligence over other firms in the marketplace."
Roussotte continues, "Investors and regulators are now increasingly scrutinizing valuation, operational management, integrated reporting, risk management and assessment. This is creating the need for superior tools and practices to provide better pricing and analytics, more precise and robust market data and multi-asset, single integrated platforms where hedge and other investment books can be managed. All of these drivers are in line with our fixed income strategy and roadmap for the FusionInvest platform."