Risk

Back to services

Making the numbers talk

Our Risk Service Offering is NOT based on the traditional model of purchased software on the client’s side. Our clients don’t have to invest in technology, nor hire staff to run all of these aspects nor take care of the data management. Arkus integrates all of these moving parts into one service offering allowing our clients to focus on their core business.

We collect the data from your administrator / custodian bank and check it for completeness and accuracy before we upload it in our proprietary system RiskRadar™ where the risk calculations are carried out.

The resultant metrics and the underlying analysis are used to create meaningful reports for all types of risk (Market Risk, Liquidity, Counterparty and Concentration).

UCITS compliant risk reporting
Through our risk reporting services we enable you to monitor the compliance of your portfolios with the regulatory requirements across various European jurisdictions; and/or adherence to a user defined risk profile:
Global Exposure
VaR (Absolute or Relative) vs. Commitment (incl. Netting -/Hedging arrangements)
Stress Testing
(historical as well as factor stresses)
Liquidity Risk Monitoring
Asset and Liability side (incl. Stress Test of redemptions)
Counterparty Risk Monitoring
(OTC limits and Combined)
SRRI
(incl. Alert if SRRI is falling outside the current risk class)

The reports are available through our online interface or delivered via e-mail. We maintain a Database of securities (including Benchmarks) and risk data and are able to run portfolios analysis on multiple risk engines. The reports are constantly updated to reflect regulatory changes. To ensure convenient monitoring of the risk profiles we provide an extensive library of guidelines on risk numbers that can be selected and adjusted individually per portfolio. Using a traffic light system the selected set of guidelines will show you at glance if a portfolio adheres to the defined risk profile. To enable the convenient monitoring of a multitude of portfolios we provide an Exceptions Report which lists all the guidelines selected for your portfolios. We also provide an Executive Summary with the headline risk numbers and guideline results for senior management.