Risk technology specialist Numerix has acquired TFG Financial Systems, a real-time risk, P&L and position management system.
TFG’s dependency graph capabilities, at the heart of its SaaS risk and portfolio management software and technology framework, will be leveraged to provide core real-time, distributed, event-driven processing capabilities in Numerix Oneview enterprise trading and risk solutions.
“Built on a real-time, distributed, fault tolerant, event-driven calculation framework with dynamic directed graph technology, TFG is a state-of-the-art software built for real-time systems. We’re proud to be adding the highest level of performance for front office real-time scenarios – spanning solutions for automated structured products distribution, trading, risk management and now a robust solution for hedge funds and fixed income market makers,” says Steve O’Hanlon (pictured), chief executive officer of Numerix.
“Echoing our recent Chartis RiskTech 100 award for demonstrating excellence in strategy, this deal clearly exemplifies how we’ve continued to expand our next generation technology platform. Numerix and TFG are already synonymous with fast, robust and scalable products; in 2017 we are focused on continuing to grow and evolve our world class systems.”
Peyman Mestchian, managing director of Chartis Research, adds: “Numerix is already a leader in pricing and quantitative risk analytics. By acquiring TFG’s event-driven buy-side and sell-side platform, it has extended its position, and responded to market demand for cost-reducing architectures that combine hybrid data management, analytics, workflow and visualisation.”
“A dependency graph is essentially a technology for connecting server systems that speak to each other in an event-driven real-time, efficient way,” says Satyam Kancharla, chief product and strategy officer of Numerix. “The streaming Directed Acyclic Graph, or DAG technology, triggers modules only if data they depend on changes, maximising efficiency and throughput. As such, the system can calculate VaR, Greeks and carry out stress testing on a sub-second basis, or price 25,000 interest rate swaps per second in volatile markets.”
