Risk Analytics

The risk analytics module is an optional module of the EnergyOne Trading system.
Designed for use by Middle Office staff for risk and valuation purposes, it offers a comprehensive set of tools based on established energy industry risk and valuation methodologies.
Full functionality for energy markets
A comprehensive set of Risk and Middle Office functionality is included, out-of-the-box, including:

• Comprehensive multi-commodity forward curve management utilities and libraries
• Profiling
• Mark to Market
• Counterparty Credit Exposure Management and Reporting (including limits)
• Sensitivity testing
• Stress/scenario testing
• “At Risk” measures, including including intraday VaR, EaR and extended scenario analysis
• Simulation Pricing  and Valuation capability
• Full, easy to use and configurable reporting functionality by portfolio, commodity, trade and counterparty level.
• Scheduled and adhoc extract reports for financial (e.g month end) and analytical reporting purposes

Middle Office Functionality
Fully integrated and flexible hierarchical security system providing role-based access and functional controls throughout the system, including:

• Fully integrated limit management incorporating limits at the following levels:
• Dealer transaction limits (face value, volume, capacity, tenor) by instrument type and product (electricity, environmental products and SRAs)
• Portfolio physical position limits (against forecast generation, forecast load)
• Environmental Product limits against forecast generation and retail compliance obligations
• Portfolio concentration limits by instrument type
• Risk limits for counterparty credit exposures
• Configurable limits for all key trading measures
• Hard and soft configurable limits for workflow control
• Full and Configurable counterparty credit risk control and reporting
• Full audit capability, version control data
• Alerts
• Utilities to easily allow authorised users to configure:
• New markets/geographies/commodities
• New portfolios/books/groups
• New contract types (including complex or exotic trade types, load following, profiled etc)
• New contract settlement rules (including multi-market settlement rules)
• New market time bases (e.g. 3-hourly, hourly, half-hourly).
• New Users/counterparties
• Advanced reporting (portfolio, hedge, position, audit).
• Hedge accounting

Integration with 3rd party risk systems
EnergyOne Trading offers out-of-the-box interfacing with 3rd party risk systems, such as the class-leading Lacima system. This enables clients the option of using an alternate risk/valuation system, other than the built-in module, if this is preferred.
New contract settlement rules (including multi-market settlement rules)
Market settlement rules (gross pool, net pool, next day)