« back 07 February 2007

Eleven Institutional Investors select SYSTEMIC to manage their risks.

SYSTEMIC risk Management successfully completed the implementation of its RV Market risk management system to eleven institutional investors, which as of last January 10 are reporting to their shareholders and regulators the risk level of open-ended and closed-ended funds that they manage, in compliance with the relevant European Commission Recommendation.

The companies which opted for this system include
  •  EFG Eurobank Asset Management,
  •  MARFIN Global Asset Management,
  •  Greek Postal Savings Bank & Hellenic Post Mutual Funds,
  •  GLOBAL New Europe Fund,
  •  ASPIS/ ABN AMRO Funds,
  •  INTERNATIONAL Funds
  •  and many others.

This regulation sets concrete rules to institutional investors related to the risks embedded in portfolios under management, including market risk, liquidity risk, credit risk, and counterparty risk. For portfolios containing positions in derivatives the regulation is more demanding, and requires implementation of modern risk management techniques including value-at-risk and stress testing. Recently, the first submission of such risk management reporting for institutional portfolios took place.

«We work with SYSTEMIC at a group level for a number of years in the area of derivatives clearing and risk management. SYSTEMIC has proven its commitment to us with high level support and very good understanding of our requirements. Their Risk Management system was an obvious choice for us, as it has already been successfully tested by major Banks in our country, while offering extensions in the area of portfolio management» commented Dionysi Linaras, Vice-Chairman of the Association of Greek Institutional Investors and Managing director of INTERNATIONAL Mutual Fund Management company.

Aristides Protopapadakis, Managing Director at SYSTEMIC added: «We believe that the Greek fund managers will obtain substantial benefits in terms of competitiveness with the application of modern risk management techniques. The RV Market system allows not only to comply with with any regulatory requirements, but mostly to effectively incorporate risk criteria in the asset selection process and evaluation of risk-adjusted return.»

SYSTEMIC is the leading financial risk management software developer in Greece and the Mediterranean region assisting financial institutions effectively understand and manage all their risk areas and complying with Basel II, Solvency II, and the European Directives relevant to portfolio management (market and liquidity risks), credit/ counterparty risks and operational risks.

Today, more than 45 organizations rely on SYSTEMIC’s solutions, with more than 100 installations in four countries, including National Bank of Greece, Piraeus Bank, HSBC, Societe Generale, Merrill Lynch International, the Cooperative Banks and Panellinia Bank, and many more.

 

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