SunGard ATB Financial is using SunGard’s Kiodex Risk Workbench for commodity pricing, position keeping and risk management of its commercial markets derivatives business.
ATB, a regional financial institution based in Alberta, Canada, selected Kiodex to help support its newly established energy derivatives operation, which it launched as an additional service to offer its energy corporate customers.
Kiodex Risk Workbench is a web-based commodities risk management system that integrates deal capture, proprietary valuation models, risk reports, and independent market data that includes representative prices, volatilities and volatility skews across the spectrum of commodity markets.
As a web-based system that is pre-configured to handle specific nuances related to commodities trading, Kiodex can be rapidly implemented, helping financial institutions like ATB to quickly enter into derivatives trading and to provide new products and services to its clients that have financial exposure to commodity prices.
Rimas Siulys, director of middle office risk management at ATB Financial, said that SunGard’s KioDex was selected as a trading and risk platform because of its web-based delivery, ease-of-use, and the complete package of energy forward, volatility and correlation curves, which has been a huge time-saver.
Thomas Farley, president of SunGard’s Kiodex business unit, commented, Bundling derivatives with corporate banking lending helps organizations like ATB to increase revenues while decreasing the risks associated with lending in the corporate sector. Kiodex helps banks to quickly enter into derivatives trading and realize the benefits of this strategy, by providing rapid time-to-market and full support for the trading and risk management of corporate derivatives.