S&P Global Market Intelligence’s โคPlatform Honoredโ as Regulatory Capital Calculation Product of โฃthe Year
S&P Global Market Intelligence has been โฃrecognizedโ for โits innovative Tradedโ Market Risk Solution, earning the title of Regulatory Capital Calculation Product of the Year. Theโฃ platform addresses โthe complexitiesโ of the Fundamental Review of the Trading Book (FRTB)โฃ adn providesโ a extensive solution for banks navigating evolving regulatory landscapes.
the solution offers a complete view of โcapital requirements, both across individual trading โขdesks and at โฃthe โgroup level. A key feature is its โฃdrill-downโ analytical capability, seamlessly integrated with existing pricing and riskโข infrastructures. This allows forโ comparative analyses between the โStandardised approach (SA)โค and โคthe Internal Models Approach (IMA), fostering clarityโฃ regarding capital drivers โand enabling moreโ informed decision-making.
Recognizing the increasing reliance on SA, either fully or in hybrid models, S&P โขGlobalโข Market Intelligence has expanded its offerings with a dedicated SA module for banks notโ pursuing IMA approval.This expansion complements โthe continuedโ deepening of its datasets, now featuring enhanced real-price observations โขacross a broad range of asset classes including interest rates, โขcredit, equity, foreign exchange, and fixed income derivatives.
Built on a cloud-native design with โan submission programming interface-first architecture, the platformโ prioritizes ease ofโ integration with โclients’ existing systems, minimizing implementation costs and disruption. This architecture also allows S&P Global Market โฃIntelligence too rapidly adapt to regulatory changes and varying interpretations across jurisdictions.
The โขproduct further โstreamlines โฃcapital calculation efforts by aligning overlapping frameworks suchโ as FRTB expected shortfall, historical value-at-risk, and the standard initial margin model.This synergy deliversโค cost and operational efficiencies, crucial for banks managing risk across โฃmultiple departments. Notably, โtheโ platform’s credibility is underscored by โฃits โadoption by regulatorsโค themselves, utilizing S&P Global Market Intelligence’s modellability service.
Beyond compliance, the platform facilitates constructiveโ dialog between banks and supervisors. Institutions are leveraging โคthe solution to examine the upstream data and โmodelling choices impacting their capital positions, preparing for more evidence-basedโ regulatory discussions and a clearer understandingโ of how modelling decisions effect outcomes.
Alberto Micucci, head of sell-side risk solutionsโ at S&P Global Market Intelligence, expressed his delight at receiving the award, stating, “This recognition highlights our โขTraded Market Riskโ Solution’sโฃ effectiveness in meeting the stringent requirements of FRTB โฃand our dedication to โadaptability in โขchanging regulatory environments.” He โคfurther emphasized the platform’s โฃreliability and accuracy,โ noting its increasing โuse by regulators as a testament toโ its robustness and market โคrelevance.”we aim to empower financial institutions to make informed โคdecisions and engage effectively with supervisors,” Micucci concluded.