System and method for asymmetric offsets in a risk...

G - Physics – 06 – Q

Patent

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G06Q 40/00 (2006.01)

Patent

CA 2578095

A system and method for using asymmetrical offsets for products in a risk management analysis system are disclosed. Conventional systems assign symmetrical offsets for products, that is, if two products have an 80% correlation they each would be assigned an offset of 80% with respect to each other. However, it is desirable to allow for asymmetrical offsets. In the disclosed system and method, when two products have a correlation of 80%, one may be assigned an offset of 75% and the other may be assigned an offset of 80%. There are many reasons to vary the offset between the products. The varying offset may reflect an asymmetry in the risk in one of the products, such as being traded in an illiquid market or in a less desirable venue. The varying offset may correct for an imbalance in spread credits due to special charges from intra spreading.

L'invention concerne un système et un procédé d'utilisation de compensations asymétriques pour des produits dans un système d'analyse de gestion de risques. Les systèmes classiques attribuent des compensations asymétriques pour des produits, c'est-à-dire si deux produits présentent une corrélation de 80 %, on attribue à chacun une compensation de 80 % par rapport à l'autre. Il est cependant préférable de permettre des compensations asymétriques. Dans le système et le procédé de l'invention, lorsque deux produits présentent une corrélation de 80 %, on peut attribuer à l'un une compensation de 75 % et à l'autre une compensation de 80 %. Il existe de nombreuses raisons de varier la compensation entre les produits. La variation de la compensation peut réfléchir une asymétrie du risque dans un des produits, par exemple commercialisé sur un marché non liquide ou dans un lieu peu indiqué. La variation de la compensation peut corriger un déséquilibre des crédits dû à des charges spéciales de diffusion interne.

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