SocGen boosts risk management

Risk management software firm, Algorithmics will work with Soci'et'e G'en'erale Corporate and Investment Banking (SocGen) to enable it to manage credit risk, On Wall Street reports.

The deal with Algorithmics represents an extension of the French banking giant's relationship with the software vendor. SocGen was already using Algorithmics' market and credit risk software packages.

In the aftermath of the credit crisis, improving counter-party credit risk management has become an important consideration for all financial institutions, Digital Journal explains.

Bob Boettcher, Algorithmics senior director of market and credit risk, says: “Soci'et'e G'en'erale's credit evaluation adjustment (CVA) desk project will support more risk-aware trading decisions with a consistent analytical and technical framework for risk managers and traders.”

Waters Technology says the Algorithmics solution includes the vendor's real-time Credit Engine, and has the ability to deliver potential future exposures, as well as CVA analytics, on an incremental basis.