They are currently used by over 5000 banks, corporations, hedge funds, regulators and almost half of the world's central banks. They have been tested, backtested, analyzed, and scrutinized for many years and are accepted as the benchmark for measuring market-based portfolio risk. In addition, the analytics provided by RiskManager can be used to help managers balance their portfolios and reduce their risk. In the event of a margin call requiring the partial liquidation of positions, account managers can methodically determine which positions to liquidate in order to reduce the possibility of further margin calls. Monitoring firm-wide risk Using VaR to determine margin is only the beginning.
Brokerage firms can also compute firm-wide risk across all portfolios.
Can a proprietary position be taken to reduce firm-wide risk without increasing margin requirements. These are the key risk-issues that brokerage firms face today. Where to begin The RiskMetrics web site is designed to provide answers for your risk management questions. We recommend you begin with the Products section. From there, you can learn more about our software applications and data services.