Whitepaper: How to calculate, hedge and prevent exposures to event risks This Cloudmetrx whitepaper discusses event risks — how to calculate the magnitude of a portfolio’s exposure to an event, how to hedge that exposure, and how to prevent future such exposures. Beta-adjusted scenario analyses are used to analyze current event risks, while statistical analyses, […]

Zero Hedge makes an excellent point about the relationship of QE to interest rate levels. In it, he compares the analysis of Krugman and Feldstein over the relationship between Fed open market operations and the low interest rate environment that has plagued the fixed-income landscape for so long now. While Krugman analyzes the Fed’s balance […]

To be clear, Aaron never knew my name. We only ever spoke briefly (and virtually). And in terms of our project work, Aaron and I didn’t have too much common ground. What we did have in common, however, was that we were both born in 1986. We both started programming as children. We both were […]

In our experience selling cloud-based realtime analytics solutions to hedge funds and other financial institutions, we’ve found a few cases where CTOs are reluctant to host any important applications in the cloud. Their concern, they say, is simple: security. In fact, we’ve run into CTOs with this opinion so regularly that we’ve had to create […]

As a risk guy myself, JP Morgan has always had a special place in my heart. But the recent news of their reaction to the CDX fiasco has left me somewhat disappointed. Bloomberg news coverage is here: http://www.bloomberg.com/news/2012-10-12/jpmorgan-deploys-new-var-model-for-cio-bet-reports-lower-risk.html Now, what’s uncomfortable about this to me is that it entirely misses the point of a.) what […]

Cloudmetrx was selected as one of seven companies to exhibit at DEMO in the “Angel Alley” program sponsored by our good friends at Wilson, Sonsini, Goodrich & Rosati. The conference is in Santa Clara from October 1 – 3 — more information at http://www.demo.com. Anyone interested in upcoming new technologies from startups and big companies […]

After JPM announced a $2B mark-to-market loss in a credit portfolio, U.S. financials suffered across the board. With such company-specific news, it’s difficult to understand the correction in the sector as a whole — until you consider the post-2008 regulatory questions still looming in the background. Here’s the obligatory quote du jour, coming from Sen. […]