A new portfolio-based risk system could strengthen market safety and efficiency of initial coverage of equity derivatives and equity index derivatives.
Eurex Clearing has put its next-generation risk management system, Eurex Clearing Prisma, into production.
Eurex Clearing Prisma applies a portfolio methodology, compared to traditional product-by-product based margining approaches. The new system will be rolled out for all products cleared by Eurex Clearing and replace the current risk-based margining methodology.
By capturing risk reducing portfolio effects accurately, Eurex Clearing Prisma will promote hedged positions and increase capital efficiency. After full roll-out, the division will apply a single consistent methodology and system across all asset classes cleared, including listed and OTC products.
“The introduction of Eurex Clearing Prisma strengthens our position as an industry leader in CCP risk management. With the launch of this next-generation risk management system, our customers will benefit from industry-leading technology which allows significant efficiencies and savings. With Eurex Clearing Prisma we set new standards in CCP risk management and contribute
to market safety and integrity,” said Thomas Book, CEO of Eurex Clearing.
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