Financial Markets Business challenge eSecLending uses market data to analyze risk for clients’ loan portfolios. Its existing data provider’s fees were rising and data was often incomplete, so eSecLending began looking for better options. Transformation eSecLending switched to a managed data service from IBM that integrates with IBM® Algo® Risk Service on Cloud to provide daily risk metrics and stress tests for each client’s portfolio. “Algo Risk Service on Cloud provides an impressively robust market risk model, giving us a better understanding of our clients’ exposure.” —Bill Locke, Chief Risk Officer, eSecLending Business benefits 20% cost savings on market data by moving to a single supplier for data and analytics 42% increase in number of instruments analyzed per day, from 7,000 to 10,000 4 times as many scenarios simulated daily, making risk assessments even more robust eSecLending Delivers daily insight into credit and market risk to help clients choose the right counterparties Solution components IBM® Algo® Risk Service on Cloud Client Name eSecLending Company Background eSecLending is an independently owned financial services company providing securities financing, collateral and liquidity services, and default management solutions to institutional investors and clearing organizations worldwide. With a consultative, flexible approach, it works with clients to deliver tailored solutions which are aligned to each client’s individual requirements, goals and objectives. Business challenge eSecLending uses market data to analyze risk for clients’ loan portfolios. Its existing data provider’s fees were rising and data was often incomplete, so eSecLending began looking for better options. Transformation eSecLending switched to a managed data service from IBM that integrates with IBM Algo Risk Service on Cloud to provide daily risk metrics and stress tests for each client’s portfolio. Results eSecLending has cut its market data costs by 20 percent, increased the number of instruments it can analyze per day by 42 percent, and raised the number of simulations it can run by a factor of four. Pull Quote “Algo Risk Service on Cloud provides an impressively robust market risk model, giving us a better understanding of our clients’ exposure.” —Bill Locke, Chief Risk Officer, eSecLending Case study Link http://ecc.ibm.com/case-study/us-en/ECCF-WFC12348USEN eSecLending is an independently owned financial services company providing securities financing, collateral and liquidity services, and default management solutions to institutional investors and clearing organizations worldwide. With a consultative, flexible approach, it works with clients to deliver tailored solutions which are aligned to each client’s individual requirements, goals and objectives. Share this WFP12348-USEN-00