âThe OPERAÂ® methodology simultaneously measures processing quality and Unrealized RiskÂ®â, said Fred Sommers, a Basis Point Group partner whose background and experience was key to the creation of the measurement approach.
Utilizing eleven years of historic data, covering millions of financial events from more than 25 equity and fixed income securities market participants, in its proprietary patent-pending OPERAÂ® decision framework, BPG has identified three distinct, quantifiable performance bands in which all firmsâ processes operate.
âAnalyzing our extensive historic operational event database, BPG was able to identify performance boundaries that provide management and clients a meaningful basis for understanding operational quality, despite the complex challenges and variations that securities operations present,â Sommers added.
The OPERAÂ® Performance Benchmark Scale allows direct performance comparison of all cash and securities transaction streams within a firm. OPERAÂ®âs Attribution capabilities isolates process components that pose quantifiable quality and monetary risk, identifying all event that impact performance, providing focused, actionable information to reduce process volatility and improve quality.
âThe OPERAÂ® methodology provides the only single-value, index based approach to operations performance measurement. Our unique approach normalizes the effects of size, style, organization and automation infrastructure, while retaining the capability to fully attribute performance,â said Graham Mellor, BPGâs lead partner in London. âFinancial service firms will recognize significant improvements in their ability to cut through operational data clutter to precisely target measurable improvements while leveraging past risk, performance and regulatory investments.â