Designed to be a cost-effective risk service for hedge funds, Algo Risk Reports provides pre-configured, static reports for regulatory, investor and internal stakeholders.
The tool is aimed at hedge funds that have chosen not to build certain parts of their risk management systems in-house, and meets funds’ demand for better asset coverage and more flexibility for derivatives.
Meanwhile, the service has recently signed Optima Fund Management as a client in New York for UCITS reporting.
Optima Fund Management CFO Geoffery Lewis said Algorithmics’ reporting service addressed their needs to meet UCITS regulations in Europe, as well as providing Algorithmics’ analytics for their own investment reporting in a cost-effective manner.
"Following a rapid implementation we are now in a position to pursue opportunities in the European retail market," Lewis said.
Algorithmics executive vice president of Buy-Side Risk Solutions Andrew Aziz said they have launched their reporting service at a time when hedge funds worldwide face a new regulatory environment of UCITS IV, AIFMD and Dodd-Frank, as well as increasing demands from their investors for higher levels of risk transparency facilitated by the OPERA standards.
"To meet these demands, Algo Risk Reports provides three types of reports for regulatory compliance, independent investor reporting and investment decision support. It uses Algorithmics’ full revaluation- and simulation-based approach, which means that the product is especially suited to the non-linear strategies undertaken by hedge funds of all sizes," Aziz said.
