Big System for the Small

Arming David - in a market of Goliath able to justify huge spend on risk management how are the numerous asset management teams in small financial institutions to meet regulatory pressure whilst remaining cost effective.

I just received the quick report of our product manager about the UnRisk FACTORY Capital Manager  introductory product use training  that took place on Monday and Tuesday of this week on site of a small insurance.

What has been done before? We have recommended a box that is capable of running 12 computational kernels in parallel and a MS SQL data base design for managing all relevant market data from various sources. Although the concrete market data import into the FACTORY data base is usually the responsibility of the customer (the FACTORY comes with a high-level market data adapter) we made this part for them, because it was standard (with our data base design) - at no extra cost.

The standard 2 days workshop has 2 parallel parts:
In the technicals part we make the installation together with the IT experts and explain in detail, and on the concrete job, how the administrative set up and the market data import works.
In the use part reference products, portfolios and scenarios are set up together with the users and various concrete valuations tests are performed in an explorative learning arrangements - on customer products.

The essence of the report: Installed. Import of all  relevant market data automated. About 120 products of various asset classes set up - valuations of a certain VaR treatment and reference stress tests automated and trained. Open: set up of equity baskets applying the flexible pay-off description tool of UnRisk.

So, the asset managers at the small insurance start with productive work today.

The total external cost: a contemporary PC, an UnRisk FACTORY Capital Manager license (yearly), a 2 days workshop with 2 trainers.

The time from the contract signature to the first productive day: about 3 weeks.

The technology is identical to the technology that we deliver to a bank.