Oracle
Risk Manager is an asset/liability management application
that employs account-level data to support structured interest
rate risk analysis, balance sheet forecasting, and market
valuation. It measures and models every loan, deposit, investment,
and portfolio individually, using both deterministic and
stochastic methods. As an integrated component of the Oracle
financial services applications, Oracle Risk Manager works
with Oracle Transfer Pricing and Oracle Budgeting and Planning
to deliver a comprehensive decision management solution
that dramatically enhances risk management, customer relationship
management, budgeting and planning, and performance measurement
functions.
Controlling
the Complexities
Enterprise risk management is the goal of most treasury
departments today. To consolidate the management of risks,
the department must have a consistent framework for gathering
data, measuring risks, monitoring changes, and acting on
decisions. Oracle Risk Manager meets these challenges. The
Oracle data model provides a repository for account-level
data, capturing true instrument characteristics. These characteristics
drive the modeling of individual accounts. Assumptions about
ongoing business activities are stored independently to
separate today’s risks from tomorrow’s actions.
In the process of simulating future activity, over 70 financial
measures (financial elements) are produced for every item
on your balance sheet. Oracle Risk Manager provides tools
to meet all your risk management goals, including value-at-risk
(VaR), earnings-at-risk (EaR), market value, income simulation,
and gap. You control the levels at which results are aggregated,
both in terms of the time frequency (modeling buckets) and
the product categorization.
