With financial risk management a top priority, the need to obtain a complete view of credit exposure by counterparty, is essential. In this environment, the management of counterparty data is reaching its next frontier and is fueling business growth finds a new white paper prepared by A-Team Group for GoldenSource Corporation and CounterpartyLink. GoldenSource, a provider of Enterprise Data Management (EDM) solutions and CounterpartyLink, a provider of legal entity data, sponsored the production of the white paper in which financial services industry leaders talk about how their firms have progressed over the last 12 months in leveraging counterparty data.
“With sustained turbulence in global markets, transparent client hierarchical data is now perceived as essential by both buy and sell-side firms,” says James Redfern, head of sales and marketing, CounterpartyLink. “Many now recognize that as well as improving risk management, they can leverage the information to streamline their operations, save money and can exploit more opportunities by targeting the most appropriate counterparties.”
The report goes on to identify three areas where the industry is looking to use counterparty data as a ‘business enabler’, including:
To ensure compliance, risk management and consistent data practices between the central repository and downstream businesses;
To cross check internal information with external independent sources;
To expose hierarchies and true business entity information.
“To help address this we offer a unique application, GoldenSource Counterparties, that allows firms to link all of the required information together to provide a total view of an institution’s counterparties,” says Sam Weibel, vice president of investment banking solutions at GoldenSource Corporation. “We are working with our customers to allow them to normalize and transform industry classifications into a consistent representation no matter what the source, and to identify the roles and relationships between all accounts and counterparties.”
Sam Weibel of GoldenSource Corporation will be available to discuss the findings of the new white paper at the FIMA Entity Data Management Conference on 22 July in New York.