Fifth Third Bank uses SunGardâs Kiodex Risk Workbench as a front-to-back office platform. In the front office, the Bank leverages Kiodexâs combined models, data and system to provide indicative quotes for customers, and then capture and track the position on both customer and dealer trades. Fifth Third Bank also uses Kiodexâs full suite of standard reporting, including trade auditing to track changes made to trades, and profit and loss (P&L) attribution to help decompose and measure profitability. To monitor credit risk, the Bank runs Kiodexâs limit reports as well as Monte Carlo VaR reports providing Potential Future Exposure by customer.
Mark Gargano, head of commodity trading at Fifth Third Bank, said, âWorking with SunGardâs Kiodex and a great team here at Fifth Third, we were able to launch the Risk Workbench in three weeks. The model, the data, and the reports all just worked, allowing us to focus on launching our business and building our processes.â
SunGard also announced that Lehman Brothers, the global investment bank, has renewed its relationship with SunGardâs Kiodex for valuation of its commodities derivatives. In 2006, Lehman Brothers launched its energy derivatives business, leveraging Lehmanâs leading position in energy investment banking. Lehman Brothers is using SunGardâs Kiodex to help generate third-party validation of profit and loss and risk figures. Lehman Brothers is a leader in the energy investment banking space, and has recently garnered industry awards including Project Financeâs Best Single Asset Power and Best Oil and Gas Deal of the Year awards and Global Financeâs Best Investment Bank in the Power Sector award.
Ben Jackson, chief operating officer of SunGardâs Kiodex business unit, said, âWe are pleased that Fifth Third Bank selected Kiodex to launch its business and Lehman Brothers choose to renew its relationship with Kiodex. At SunGard we help banking customers ranging in size and scope with independent verification on a daily basis, in turn helping them to assure their stakeholders that profit and loss and risk statements are accurate. We look forward to continuing to work with Lehman and Fifth Third, to help them manage their risks in energy and derivatives and to support continued growth of their businesses.â