In order to better manage recent developments in financial accounting standards, Kamakura’s risk solution provides a tool for hedging institutions to accomplish a number of critical tasks.
Recent developments in financial accounting standards are resulting in their closer alignment with the mark-to-market orientation of risk management. International Accounting Standard 39 (IAS39) and the U.S. Financial Accounting Standard 133 (FAS133) both require financial institutions and corporations to clearly demonstrate the effectiveness of hedging strategies.
Kamakura’s mark-to-market capabilities stem from our critical role as a market risk system in major institutions around the world. Historical simulation of hedging effectiveness is one of the unique features of the three types of value at risk analyses in Kamakura’s solution package.
Read more about Kamakura Risk Manager IAS39 (KRM-IAS39) solution.