Redefining Margin Efficiency & Risk Mastery: EuroCCP’s Triumph with swissQuant’s CleaRisQ

Client: EuroCCP
Vertical: Capital Markets

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A Dynamic Leap in Real-Time Risk Technology

In the bustling world of cash equity and equity derivatives clearing, EuroCCP, the renowned pan-European clearing house, has set a new benchmark. This milestone has been achieved by their successful implementation of swissQuant’s cutting-edge real-time risk engine, CleaRisQ. Known for handling huge volumes of transactions — 4.95 million daily and EUR 25.4 billion per day, to be precise — CleaRisQ’s advanced risk technology is now propelling EuroCCP’s growth strategy to new heights.

An Advanced Real-Time Risk System for Complex Market Operations

“We are thrilled to support EuroCCP as they deploy a real-time risk system, which is now providing them with top-tier risk calculation capabilities for their wide range of cleared products,” says Greg Campbell, Head of Derivatives Technologies at swissQuant. Not only does CleaRisQ hold the potential to process an astounding volume of over 100 million transactions daily, but it also features best practice risk methodology, stress testing, backtesting, and sensitivity analysis capabilities—all in one system.

Clearing Members Benefit from Real-Time Analytics

Offering even more value to EuroCCP, CleaRisQ provides clearing members with read-only real-time analytics, including ‘what-if’ trade simulations. Jonathan Tran, Chief Risk Officer at EuroCCP, is enthusiastic about the partnership extension with swissQuant, citing the firm’s sterling reputation for risk technology expertise as a key factor in their decision.

Integrating CleaRisQ: A Significant Milestone for EuroCCP

Replacing and integrating a risk system is a significant endeavor. For EuroCCP, the launch with CleaRisQ marked a crucial milestone. Ed Hughes, Chief Technology Officer at EuroCCP, praised swissQuant for their strong partnership throughout the initiative, from the initial launch for cash equities to the subsequent extension to derivatives.

Powering Global Finance with Advanced Technology

With an enviable track record serving global FMIs, clearing houses, asset managers, insurance companies, and wealth managers, swissQuant is driven by its commitment to enhancing financial resilience worldwide. CleaRisQ, their flagship product, provides a state-of-the-art, real-time risk management platform capable of handling up to 100 million transactions per day.

CleaRisQ: Your Game-Changer in Risk Management

In the rapidly evolving and highly competitive CCP market, keeping pace with constant changes is crucial. CleaRisQ provides real-time margining, recalculating portfolio risk every 30 seconds. This enables compliance teams to confidently navigate market volatility, reducing risk, boosting trading volumes, and improving operational efficiency. Moreover, it helps you turn market uncertainty into a strategic advantage by simulating historical and hypothetical scenarios to assess risk, optimize default fund sizes, and prepare for unpredictability.

Mastering Collateral Management with CleaRisQ

CleaRisQ simplifies collateral management, enabling informed margin haircut decisions that improve control, reduce risk, and enhance trading volumes for clearing members. It guarantees rapid deployment and offers immediate strategic advantages, underpinned by an innovative, data-driven approach that perfectly balances margin requirements and procyclicality.

Navigating Compliance with CleaRisQ

CleaRisQ ensures unwavering compliance with ongoing regulatory requirements. Its backtesting, sensitivity analysis, and reverse stress testing tools provide comprehensive understanding of risk management processes, enabling you to stay ahead of the compliance curve. Overall, CleaRisQ’s cutting-edge technology revolutionizes operations, boosting operational efficiency, and providing unrivaled transparency in an increasingly complex financial world.

Are You Ready to Enhance Your Risk Management?

Just as CleaRisQ has transformed EuroCCP’s operations, swissQuant’s expertise can revolutionize your risk management strategy. Imagine having real-time risk assessments at your fingertips, robust stress testing tools that help you prepare for any market condition, and a streamlined collateral management system that reduces risk while increasing trading volumes. Our team at swissQuant is eager to collaborate with you to customize a solution tailored to your unique needs.