Singapore/Hong Kong, 9 December 2021 – ActiveViam won Best RegTech Initiative in Capital Markets in the 4th Regulation Asia Awards for Excellence 2021 at an online ceremony on 9 December 2021.
ActiveViam was recognised for its FRTB Accelerator, which provides users with all of the formulas needed to perform complex calculations to meet FRTB regulatory requirements. The solution leverages ActiveViam’s Atoti+ technology, which is built from ActivePivot, an in-memory data analytics and aggregation tool that merges the ability to perform calculations on complex transactional data and analyse it in real time, without sacrificing on performance.
The FRTB Accelerator contains pre-packaged but configurable source code, as well as business logic and BCBS-prescribed formulas needed to compute capital requirements for market risk, while also allowing for variations in parameters, correlations and calculations as may be required in different jurisdictions. It can run both the SA (standardised approach) and IMA (Internal Models Approach), in parallel if needed, offering precise insights into which method is optimal.
The FRTB Accelerator sits as an unobtrusive layer between systems and integrates with a bank’s existing architecture. It works by importing data from the bank’s systems, aggregating and storing it in-memory, and performing calculations without the need to re-call data. From a technology standpoint, this approach is faster and less resource intensive, allowing for calculations to be performed in minutes or seconds rather than hours.
The underlying technology also allows banks to perform ‘What-If’ analyses, which can be used to simulate in real-time the impact of a trade or set of trades on the final capital requirement, the effect of transitioning from the SA to the IMA, or the benefits of moving trading books between desks. The solution can also be scaled up on-the-fly anytime users need to explore a longer history or perform deeper analysis.
“Given the heavy data requirements of FRTB, a key challenge has been the issue of computing power and the time it takes to run calculations,” said a judge on the awards panel. “ActiveViam has addressed this problem head on using in-memory computing. Next year should be an exciting year to see increased adoption of the solution as more banks look to prepare for FRTB’s implementation in January 2023.”
The FRTB Accelerator is used by global banks across Asia, Europe and North America.
About the Regulation Asia Awards for Excellence 2021
The Regulation Asia Awards for Excellence recognises financial institutions, technology companies, legal and consulting firms, exchanges and other players that help to ensure the highest standards for regulatory compliance are upheld in the financial industry. Each year, senior industry practitioners serve on a judging panel to help assess and score each submission to determine the winning entrants.
For a full list of the award 2021 winners, visit www.regulationasia.com/awards.
About Regulation Asia
Regulation Asia is the leading source for actionable regulatory intelligence for Asia Pacific markets. With over 12,000 subscribers, including regulatory bodies, exchanges, banks, asset managers and service providers, Regulation Asia plays a key role in shaping the regulatory agenda.