News

Real-Time Risk: The 60-Second Rule

Real-Time Risk: The 60-Second Rule
21 May 2013:

The CFTC’s 60-second rule requires Futures Commission Merchants to accept or reject a trade within 1 minute, meaning they must run analytics against client portfolios in near real time to determine if they exceed some risk threshold. But that represents a dramatic change for FCMs, which typically have run their risk calculations in nightly batches, says Steven Harrison, President and COO of Imagine Software. Harrison and TABB Group partner Alex Tabb discuss the operational and technical challenges to — and benefits of — performing real-time risk analysis, as well as the shortcomings of the 60-second rule itself.

Interviewer Alex Tabb   Source: TABB TV   Categories: Derivatives, Technology, Regulatory, Fixed Income
Topics: Clearing and settlement, Compliance, Futures, IT governance/infrastructure, Regulations, Swaps, Trading technology infrastructure.

WATCH the INTERVIEW HERE

Related News

ED&F MAN Capital Markets

ED&F Man Capital Markets Transforms Risk & Margin Management with TS Imagine’s RRC Platform

ED&F Man Capital Markets replaces legacy systems with TS Imagine’s fully-hosted, SaaS solution for high-volume, real-time analytics on cross-asset exchange and OTC trading.

November 30, 2021

Performance Attribution

When analysing performance, measuring a portfolio’s actual return answers the “what” and “when” questions –– it tells us what return the portfolio delivered over a specified period of time. While that information is obviously important, the goal of a performance attribution analysis is to go beyond “what” and “when” to explain “how” and “why”.

November 15, 2021
Whats on Prime Brokers Minds When it Comes to Risk?

What’s on Prime Brokers’ Minds When It Comes to Risk?

Managing the risks inherent in their positions, including holding sufficient margin, is absolutely essential for prime brokers. The key question is whether or not they are measuring risks and managing margin effectively and proactively.

September 20, 2021

Latest Tweet