Erste Group Bank Launches ActiveViam’s Limits Monitoring Module to Manage Intraday Risk

Rhea-AI Summary

ActiveViam has announced that Erste Group Bank is the first client to implement its new Limits Monitoring module. This solution went live last month and will be expanded in scope and users shortly. It aids Erste Group Bank in enforcing risk appetite and daily limit monitoring. The choice to adopt ActiveViam's solution was made after recognizing limitations with an internal tool. ActiveViam's existing technologies have already proven beneficial in reducing costs and complying with market risk regulations.

Positive

• Implementation of the Limits Monitoring module enhances Erste Group Bank's risk management capabilities.
• The solution allows for real-time monitoring of sensitivities and limits, improving operational efficiency.
• ActiveViam's existing technologies have reduced implementation costs for Erste Group.

Negative

• None.

VIENNA--(BUSINESS WIRE)-- ActiveViam, a global provider of fit-for-purpose software solutions to the financial services industry, is pleased to announce that Erste Group Bank is the first client to adopt ActiveViam’s new Limits Monitoring module.

The product went live at the bank last month and will be extended by scope and users during the upcoming months. This will help Erste Group Bank to enforce their risk appetite while maintaining and monitoring limits on a daily basis.

Erste Group Bank had a choice between developing an in-house solution or acquiring a product from a software vendor. Ultimately, they chose ActiveViam’s solution after using an internal tool that was limited in scope.

“We wanted a solution that would ensure all (risk) sensitivities based on the independent price valuation methodology are available and can be limited on all aggregation levels for all entities on a daily basis,” said Marcos Heerdt, Head of Market and Liquidity Risk Analytics at Erste Group Bank. “With ActiveViam, we are able to monitor in a robust, safe and scalable manner sensitivities and notional limits in real time with a dedicated definable workflow. It adds consistency to the information system because all the measures used in the new limits system are available in our existing risk cubes.”

Erste Group Bank is already using ActiveViam’s FRTB Accelerator, which has helped the bank to reduce implementation costs and comply with market risk management regulation.

“We noticed many of the organizations we serve struggle with the overhead of maintaining limits,” said Colleen Cosgrove, Chief Solutions Officer at ActiveViam. “The process is similar from client to client and thanks to our extensive experience in risk data modeling and data aggregation we deliver a solution that solves this problem across the industry in a cost-effective and efficient way.”

About Erste Group Bank

Erste Group Bank AG, the premier Austrian financial institution and the country’s largest bank, serves more than 16 million clients in Central and Eastern Europe. Erste Group has been an ActiveViam client since 2015 and during that time has used ActiveViam technologies for FRTB, market risk analysis and VaR aggregation.

About ActiveViam

ActiveViam, a global software provider to the financial services industry, delivers a fit-for-purpose data analytics platform that accelerates confident decision making. For more information, please visit www.activeviam.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20221205005738/en/

ActiveViam

Suzanne Glorie

sgl@activeviam.com

Source: ActiveViam

FAQ

What new module did Erste Group Bank adopt from ActiveViam?

Erste Group Bank adopted the new Limits Monitoring module from ActiveViam.

When did Erste Group Bank's implementation of ActiveViam's module go live?

The implementation of ActiveViam's Limits Monitoring module went live last month.

What benefits does the Limits Monitoring module provide to Erste Group Bank?

The module helps Erste Group Bank enforce risk appetite and monitor limits daily.

How has ActiveViam's solution supported Erste Group Bank in risk management?

ActiveViam's solution allows for real-time monitoring of sensitivities and limits across all aggregation levels.

What previous challenges did Erste Group Bank face with their internal tool?

The internal tool was limited in scope, prompting Erste Group Bank to seek a more robust solution.