Japan Exchange Group chooses Cinnober for risk monitoring
This will include the entire Japanese market of equities, bonds, futures, options, credit default swap (CDS) and interest rate swap (IRS).
This latest deal follows JPX recently building a real-time clearing solution for its listed derivatives market with the help of Sweden-based Cinnober’s flagship Tradexpress platform.
The new risk monitoring solution, customised and partially based on the risk module in Tradexpress, will provide JPX with cross-asset risk monitoring and stress testing, back testing and value at risk (VaR).
Hiroyuki Shibuya, CIO of JPX, says the platform will take its services to the “next level”.
Cinnober says it has experience of providing clearing and risk management solutions to tier one exchanges and clearing houses, such as BM&F Bovespa in Brazil, UK-based LME Clear, DGCX in Dubai, and South Africa’s JSE.
JPX was established in January 2013 via the merger of the Tokyo Stock Exchange Group and the Osaka Securities Exchange. It operates financial market venues for trading of listed securities and derivatives instruments. It also provides clearing and settlement services through a central counterparty, and it conducts trading oversight to maintain the integrity of the markets.