Principia SFP users can overcome the challenges of accessing and monitoring pool performance data from multiple sources, and comingle third party data with proprietary deal analysis. Key indicators of collateral performance such as default, prepayment and delinquency rates can be tracked over time and the details of any specified collateral stratification displayed on request for initial investment analysis and ongoing risk surveillance. For portfolio and risk managers, less data mining is involved to view any slice of a portfolio and generate powerful queries regarding portfolio composition and overall performance. With this level of transparency and control, investors can readily carry out benchmarking tests across tranches to better ascertain relative value, maintain compliance with investment guidelines and flag underperforming assets.
âIntex and Principia believe in the importance of delivering the information and analytical tools structured finance investors need to make sound investment decisions and gain an ongoing understanding of their portfolios,â said Jim Wilner, Vice President at Intex. âWith Intex cashflow and performance data now automated in Principiaâs end to end infrastructure, mutual clients can streamline the processing of Intex data on an operational backbone to manage their entire structured finance business and address impending regulatory requirements.â
The performance data adaptor follows earlier integration of the Intex Deal Model Library and associated cashflow waterfall models into the system. As a result, cashflows for Intex monitored deals can be accessed on-demand and analyzed directly from Principia SFP, reducing the need to use multiple spreadsheets and databases. The entire structure of any given deal can be modeled to see the effect of a waterfall on cashflows to any selected tranche. Investors can be more proactive in their investment analysis and risk surveillance with the ability to plug in forecasting assumptions based on current and historical performance data. Prepayment, delinquency, default or recovery rate assumptions for example, can be used in cashflow calculations to project future deal performance. With a single modeling framework from front to back office, assumptions and valuations flow seamlessly through to financial accounting and investor reporting, ensuring accurate and consistent data processing.
Douglas Long, EVP, business strategy at Principia Partners said: âThis link to Intex is part of our ongoing drive to deliver the most comprehensive, standardized platform for the end to end management of issuance, performance and cashflow data for structured finance investors. Issuers in Europe and the US are increasingly having to disclose information on every aspect of new deals, from loan information to waterfall behavior. Principia SFP gives investors a single platform to consistently integrate and effectively manage this data in all its forms to ensure due diligence in the oversight of their portfolios.â