Structured Products Technology
Overcoming Challenges (Including OTC Derivatives Pricing and Risk Management) and Unlocking Business Opportunities
The structured products market offers excellent opportunities for both investors and product structurers alike. However, many market participants have become overly reliant on bespoke technologies as opposed to enterprise grade structured products technology platforms. In order to support more rapid innovation, as well as reduced operational risk and lower TCO for technologies, firms ought to migrate onto a structured products technology platform that offers enterprise grade performance and operational control and can easily be configured to support any instrument, data type and structure.
This paper provides an overview of the structured product market, as well as key challenges in supporting structured products (and OTC derivatives) technology, including:
- A brief introduction to the market and key business drivers
- An overview of key challenges in maintaining structured products technology
- Instrument mastering
- Pricing and risk analytics
- Data validation and minimizing operational risk
- Complying with relevant regulations
- An overview of key Xenomorph Platform capabilities to enable pricing and risk management of all kinds of structured products (including everything from bespoke OTC derivatives for institutional investors through to capital-guaranteed retail investment products)
- Use case: Demonstration of how the Xenomorph Platform can be used to define, price and manage risks associated with a retail structured product