Innovative, Fast and Friendly

 

Financial Regulation. The obligation for clearing in a clearing house and requirements on bilateral exchange of guarantees (EMIR, DFA); together with new regulatory requirements implemented by MiFID II and Basilea 3 are changing the derivatives markets scenario.

 

Satori by Comunytek is a tool aiming at providing solutions to a significant part of these new obligations, as well as helping to answer business queries arising of this new regulation:

BANK TRADER

Which cost (guarantees, capital) does a new operation with “my” client imply?

What is best: Cleared or Bilateral?

BANK CLIENT

Which cost (guarantees, capital) does it imply if I make a transaction with Bank “A”? And if I make it with Bank “B”? And if bilateral? What if I clear it with Bank “C”?

Which guarantees should I include today? And over time (in 1 month, 3 months, 1 year)?

CLEARING MEMBER

How much does it cost to clear Client “X”? How much capital should I allocate?

Which rate should I apply?

Which economic profitability do I get if I provide the service to Client “X”?

Is it cost-effective to attract this new Client “X”?

COLLATERAL MANAGEMENT

Would it be more cost-effective if we restructure the relation with Bank “X”? With Client “Y”?

Which is the most optimal collateral to associate with this portfolio?

Are the clearing houses´ figures correct? Which is the difference with my own data?

RISK MANAGEMENT

Pre-trading and Post-trading filters (MIFID II and DFA).

Stress testing of positions in clearing house to comply with obligations set forth by regulations (EMIR, MIFID II, DFA 23.609).

Clearing houses and products

Satori by Comunytek supports every product cleared in the main market clearing houses: LCH.Clearnet-segment SwapClear, segment IRS by BME Clearing and by CME Clearing. Satori by Comunytek is a multi-currency application.

System functionality

Functionalities by Satori by Comunytek position it
as the best cost-effective solution in the market.

 

Satori by Comunytek is conceived to work directly
with the clearing houses data such as LCH-SwapClear, BME Clearing, CME Clearing or with the bank´s own data.

It is a powerful tool for the trading and sales teams, helping to calculate scenarios, new positions simulations, forecasts of IM and NPV @Spot and @Future.

Helps to comply with a great part of the MiFID II requirements for the post-trading area.

Products and Portfolios:

OTC derivatives based on house interest rates SwapClear/BME Clearing/CME Clearing and/or bilateral.

Direct Clearing and Client Clearing.

 

Guarantees:

Cleared

– Replicates clearing houses own methods.

– Validation using the Bank´s own Curves.

Bilateral

– IOSCO/Market Standard Method.

 

Stress Test:

Historical and hypothetical scenarios.

Compliance with MiFID II, CCR 302 and DFA 23609.

Capital:

ATPs Calculation. CEM, SA-CCR Method.

Leverage Ratio.

Default Fund Capitalization.

Capital Cost and Costs forecast over time.

 

What-if:

Virtual Portfolios.

Cost Analysis: Bilateral vs Cleared.

@Spot, @Future.

Complex structures, hedging effect.

 

Default Management Process:

Helps to comply with obligations of the Clearing Member for the DMP (Fire Drills).

User terminal

Satori by Comunytek is fitted with a user-friendly interface, including powerful data forecast tools, export of data displayed to Excel, helping decision-making and regulations compliance.

Satori by Comunytek se basa en una superposición de motores de cálculo: modelado de productos y portfolios, valoración de productos, réplica de garantías de cámara y cálculo de capital regulatorio.

Roadmap

Short-term developments by Satori by Comunytek include the Eurex house for OTC derivatives and ETD´s, BME Clearing segment listed derivatives; and the inclusion of the SIMM model for Initial Margin calculation in bilateral operation. In the long-term, other houses requested by our customers are considered.

Request further information

  • Este campo es un campo de validación y debe quedar sin cambios.