PR87631

NEW YORK and LONDON, Jan. 18, 2021 /PRNewswire=KYODO JBN/ --

LMRKTS, an industry-leading optimization and compression provider, announced

the completion of its third optimization cycle for clients who calculate their

capital requirements using the Basel Committee on Banking Supervision's

Standardized Approach for measuring Counterparty Credit Risk (SA-CCR).

Banks face new challenges in post-trade counterparty exposure management as

SA-CCR is being implemented globally. In addition to managing the complexity of

new netting sets and a new methodology, banks must continue to optimize and

mitigate exposures with counterparties still utilizing the Current Exposure

Method (CEM). The phased transition risks the bifurcation of optimization

networks and creates additional headwinds for banks' treasury resource

management and XVA teams.

Since June 2020, LMRKTS' solution has enabled clients to optimize against a

combined network of both CEM and SA-CCR counterparties in a single cycle. "Our

innovative approach to holistically managing both methodologies will not only

allow the network to remain intact but also grow as additional regions migrate

to the SA-CCR framework," said Andrea Ianniello, President and Chief Commercial

Officer of LMRKTS. "This dual objective service is the most recent example of

LMRKTS proactively helping our network adapt to the changing regulatory landscape."

LMRKTS is a leading optimization and compression provider that uses

mathematical optimization to help financial institutions manage risks and

regulatory capital costs. LMRKTS contributes to the stability of the financial

system by reducing capital, balance sheet, and operational costs for its

clients. Since the launch of its first commercial service to reduce risk and

leverage exposures in G10 currencies, LMRKTS has gone on to eliminate trillions

of dollars of obligations between some of the world's largest financial

institutions. LMRKTS was founded by former traders and technologists who saw an

inefficiency in short term risk management and has received investment from The

World Bank and Motive Partners.

Related links:

http://www.lmrkts.com

https://www.linkedin.com/company/lmrkts

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Source: LMRKTS LLC