Credit Risk Manage counterparty exposure and mitigate credit risk.

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About Credit Risk

Consolidate data from multiple upstream commodity trading and risk management (CTRM) systems to measure, manage, and mitigate your counterparty default risks. Credit Risk is a flexible, web-based credit application that offers comprehensive counterparty, contract, collateral and exposure management, and credit scoring. Our solution automates complex business processes with robust workflow capabilities and user-friendly dashboards.

Why Credit Risk

In today’s volatile marketplace, credit risk management is integral to the long-term success of multinational commodity trading firms, and global commodity merchants. Proper and timely credit risk management is essential to avoid losses should a counterparty default, and to reduce exposure against counterparties that are near or over their credit limits. Our solution gives you the information you need to monitor your risk exposure and the tools to manage it. Credit Risk is available on-premises or as a hosted solution on the ION Cloud.

  • Manage your counterparties and contracts

  • Gain full insight into your exposure

  • Forecast threats

  • Identify opportunities

  • Automate business processes

  • Visualize your full position

Key features

  • Simplify counterparty management

    • Manage the entire process—from onboarding to ongoing reviews and maintenance—and store all counterparty information in one place.

    • Model complex limit structures and hierarchies, and capture important netting and margining contract provisions.

    • Calculate contractually accurate, legally enforceable exposure across the entire enterprise, and drill down through various levels of aggregated exposure to individual transactions.

  • Gain security with complete collateral management

    • Calculate collateral and liquidity obligations with pinpoint accuracy to know exactly when to call for additional collateral as your exposure increases.

    • Avoid overcollateralization by efficiently allocating collateral to secure exposure against trades in multiple upstream trading systems.

    • Automate collateral requests and margin call processes, from the generation of requests and call letters to dispute resolution.

  • Identify risk and opportunities

    • Identify, monitor, and manage your forward exposure and any future credit events.

    • Monitor liquidity to ensure unutilized capital can be put back into trading opportunities.

    • Measure against credit limits and collateral to identify available credit and alert you of any limit breaches.

  • Boost business productivity

    • Utilize workflows to automate business processes and streamline daily credit operations.

    • Quickly review current positions, opportunities, and risks in a configurable dashboard that summarizes all data.

    • Create data flows and multiple concurrent calculations of credit exposure customized to your credit needs.

  • Easily connect to other systems

    • Import data from multiple upstream systems and export to multiple downstream systems using simple database tables and views and web-based APIs (REST).

    • Integrate for real-time updates or as part of end-of-day processing.

    • Model complex integration workflows using an ETL engine bundled with the system.

Enhance your solution with optional value-added modules

Credit Risk provides comprehensive insight into your credit risk and exposure, along with the tools to manage it. The solution, which is available on the ION Cloud or hosted on-premises, goes beyond traditional CTRM credit functionality by offering several value-added modules, allowing you to make more informed decisions.

  • Credit scoring

    Use sophisticated data-driven credit evaluation to determine counterparty creditworthiness and improve decision making.
    Create custom credit scoring models (based on publicly available or proprietary credit score formulas and policies) to consistently rate and score counterparties, monitor counterparty score history, and perform peer analysis.

  • Dashboard

    Configure a dashboard summarizing current positions, opportunities, and risks to gain business insights. Perform common daily functions from a single place and drill down into the details of the summarized dashboard widgets for further analysis.

  • ION Cloud

    Lower your total cost of ownership and modernize your technology to optimize your operations and empower your business. Secure your data with ION’s multi-layered, trusted security stack.

Latest Commodities awards

Energy50 2022

Overall Winner

RiskTech100 2022

Commodity Trading Risk Management (CTRM)

Energy Risk Awards 2022

CTRM Software House of the Year

Stevie Awards 2022

Customer Service Department of the Year

Related products

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  • Openlink

    A comprehensive, multi-commodity CTRM for industry leaders operating at scale.

  • RightAngle

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  • TriplePoint

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