Cognity, FinAnalyticaâs risk management and portfolio allocation platform, directly addresses the real world phenomenon of fat tails, volatility clustering, skewness and correlation asymmetry. The latest version, which offers unified risk measurement and reporting across all levels of transparency, has expanded its asset class coverage with the addition of Inflation Rate Swaps, Callable and Puttable Bonds, and Total Return Swaps on stocks, bonds and floating rate notes by leveraging FINCAD Analytics. The solution is integrated as a key component in Cognityâs distribution fitting and risk measurement framework and, for selected asset classes, will simulate and price instruments with inputs from FinAnalyticaâs patented risk modeling process to produce fat-tailed risk and exposure reports.
FinAnalytica CEO, David Merrill stated, âThis partnership enables FinAnalytica to focus on its core competency in risk management. FINCAD Analytics will serve as a driving force in quickly responding to our client requirements for expanded derivatives pricing.â
âThe libraryâs ease of use and multiple development options has made it an ideal fit for our own environment,â added Stanislav Lazarov, FinAnalytica Head of Software Development.
âWe are pleased to partner with an award-winning company like FinAnalytica and we congratulate them on their success in enhancing Cognity positions-based analytics by expanding its derivatives coverage with our solution,â said Amar Budhiraja, Director of the FINCAD Alliance Program. âWith FINCADâs extensive documentation, we are confident that it adds to the level of transparency Cognityâs clients have come to expect.â