Nathalie Pistre, Head of Risk management at CDC IXIS AM, commented:
'For us serious risk management, particularly for alternative investments, means having total control of the models used to estimate the behaviour of assets. This is especially important in the field of complex derivatives (convertible bonds, credit derivatives etc.) with a mixture of market and credit risk and non-linear behaviour. At the same time, we need solutions which are fast to implement and easy to maintain. Riskdata was therefore a natural choice for us: as an ASP, it offers an "all in one" service, and in addition it is the only technology of its kind in which the proprietary data and the models remain under the user's full control .'
Philippe Uzan, Manager of the CDC IXIS multi-strategy fund, continued:
'Our multi-strategy hedge fund includes long-short equity, event-driven, CTA and futures, macro and convertible arbitrage, with each strategy manager using a specific dedicated management system. The challenge for us was to get an aggregated view of the fund risk profile while tracking the specific risk of each underlying strategy. We think Riskdata is unique in that it is able to address both of these issues simultaneously. Moreover, with Riskdata we can monitor the impact of any portfolio allocation on the fund risk profile. As such it provides strong support for any investment process based on the permanent search for optimal diversification.'
An appropriate and direct dialogue is required between fund managers and their investors in order to support and secure the flow of institutional money to the alternative investment community.' commented Olivier le Marois, CEO of Riskdata. 'HEDGiX has been developed in close consultation with the hedge fund and fund of fund community to support this dialogue. It addresses the investors' requirements in term of risk reports, allows the full interactivity required for an in-house risk management system, and leaves all proprietary data and models under the user's full control.'
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