Verasis Liquidity Risk

Technical information

Extract from FSA Consultation Paper 08/22:

‘We believe that it is crucial that a firm establishes a robust liquidity risk management framework that is well integrated into the firm-wide risk management process in order to ensure that it can continue to meet its liabilities as they fall due, both in normal and stressed times.’

The Verasis Liquidity Risk module integrates daily liquidity management with the ability to define, maintain and run scenarios to stress franchise / business, market and counterparty risk factors.

So now your business can benefit from a single system that will:

  • Perform liquidity stress and analyse the impact on Cash Flows, Liquidity, Profitability and Solvency
  • Test and analyse stress impacts across the full time horizon
  • Enable the definition of scenarios that integrate stresses to Systemic and Idiosyncratic risk factors
  • Provide that ability to perform intra-day stress testing and liquidity management and daily regulatory reporting
  • Provide early warning indicators identifying increased liquidity risk or vulnerabilities

The Verasis Liquidity Risk module is the solution to these and many other applications. It is a powerful liquidity management and stressing tool that:

  • Has no restriction on the volume and complexity of stress scenarios
  • Allows the user to integrate all risk factors within stress test scenarios
  • Seamlessly interfaces and integrates with existing trading and market data systems, enabling institutions to model all trades, positions and balance sheet items
  • Provides full drill down, to isolate and identify liquidity impacts at the lowest detail level
  • Has the ability to meet the business and regulatory liquidity requirements