Cross-asset analytics and risk management provider Numerix has released a new version of LiquidAsset, a deployable solution to price most commod and liquid OTC derivatives.
Cross-asset analytics and risk management provider Numerix has released a new version of LiquidAsset, a deployable solution to price most commod and liquid OTC derivatives.
Numerix LiquidAsset 2.1 introduces support for municipal derivatives and securities, including vanilla Muni Swaps, Muni Basis Swaps, Muni Swaptions, Muni Swap Curves and Bond Curves, Muni Variable Rate Demand Obligations (VRDO), and fixed rate Muni Bonds.
“At the height of the 2008 financial crisis, many muni VRDO issuers who had hedged with derivatives were stung by large losses when their hedges became ineffective,” the firm said.
As a result, many issuers and their advisors now require faster solutions to calculate accurate derivatives valuations and perform risk analysis on trades and portfolios.
Issuers can use the tool to confirm and complement analysis from their advisors, helping increase their confidence and their understanding of the risks and rewards of taking different hedging actions.
Built on Numerix CrossAsset, LiquidAsset is available on the desktop through Microsoft Excel, or can be integrated into proprietary or third-party systems with the Numerix LiquidAsset SDK.
“The ability to calculate mark-to-market valuations quickly, as well as perform scenario analysis and stress testing on-demand, enables clients to understand their risk exposure at any given moment. Flexible in nature, the intuitive function-based interface of LiquidAsset empowers users, enabling the highest level of transparency and speed for derivatives analysis,” said Udi Sela, vice president of the Client Solutions Group at Numerix.
