Kinetic Partners, a global professional services firm focused exclusively on the asset management industry, has launched a service that can help traditional and alternative managers implement robust and effective risk management systems.
The global financial crisis exposed significant weaknesses in the risk management practices of many funds. Investors and regulators are now demanding that funds implement far stronger risk management processes.
In addition to performance attribution, VaR analysis and stress testing, regulators want funds to address specific issues, such as OTC valuation, liquidity, leverage and counterparty risk, all areas which were exposed as being inadequately monitored during the recent global financial crisis.
Kinetic Partners’ Risk and Valuation Services provides fund managers with a total outsourced risk management solution that meets regulators and investors’ demands. It assesses all risks faced by funds in one seamless process.
The central engine behind RVS is Kinetic Partners’ tailored portfolio and risk management system that covers all relevant risk areas for fund managers.
In addition, RVS provides risk management data for various stakeholders including risk managers, regulators, auditors and board level executives. This includes risk disclosure reports as per regulatory requirements, daily risk reports explaining deviations, abnormal movement notifications or limits breach, as well as tailored summary reports for board meetings and internal reporting.
Kinetic Partners’ RVS will be led by Dr Christian Szylar who has joined Kinetic from RBS (Luxembourg) where he was managing director RBS portfolio risk services.
Szylar says: "RVS is a one-stop shop that will allow funds to simply, effectively and accurately assess all the complex risks that funds face in one seamless process.
"We can provide a level of expertise and technology that would be expensive and time consuming to develop and replicate inside an organisation. I believe RVS represents a major step forward in risk monitoring and assessment and once again demonstrates Kinetic Partners’ innovative thinking on behalf of its fund management clients."
Julian Korek, a founding member of Kinetic Partners, adds: "I am delighted that we have attracted Christian, a world leader in risk management, to lead our risk and valuations services. This is an important development within Kinetic to meet the needs of our clients who are looking for leading edge risk services at competitive prices. RVS will provide clients with expert flexible solutions that can be bespoke to meet individual needs."