BNP Paribas Securities Services has launched a market risk monitoring tool for pension funds, which aims to enable trustees to see a complete view of the market risk to their entire portfolio. ??
”By calculating the market risk against each individual security in a fund’s portfolio, the tool determines the market risk across the entire portfolio with higher accuracy than when calculated based on individual reports from disparate external sources,” said a statement from BNP.
?? Dietmar Roessler, head of client segment asset owners at BNP Paribas Securities Services said: “Ongoing instability in the financial markets combined with increased regulation is causing a fundamental culture shift in pension funds’ approach to risk. ??
"The need to monitor performance independently of a scheme’s external advisors is growing in importance and funds are now taking a more active approach to risk-based governance."
Implemented in a month’s time, the tool is delivered via a web-based interface, and provides pension funds with a two page report that can be published in every major European language. It is part of BNP Paribas Securities Services’ MasterSuite for pension funds.
