CHICAGO--()--Capitalizing on the unprecedented STAC-M3 benchmark results from the STAC® Summit conference in London last November, Fultech, Kove and McObject teamed up to apply these record setting technologies in storage and database performance to Risk Management in the capital markets with results that demonstrated dramatic performance improvements and scalability on market standard risk functions.
Fultech, a leading capital markets advisory services company, devised a proof-of-concept test scenario for portfolio exposure in risk management simulating 50,000 Accounts with 3,278 positions and challenged the technology team to produce a portfolio exposure result based on 10-year historical VaR (value-at-risk) in ten minutes.
Answering the challenge, the Kove and McObject teams configured a solution consisting of 4 compute hosts, McObject’s eXtremeDB® Financial Edition, and 4 terabytes of Kove® XPD™ L2 storage. The system produced the results in less than 8.5 minutes. That’s 428 billion calculations performed on 13.5 terabytes of data in less than 8.5 minutes! Currently, many capital markets organizations are only able to view counterparty exposure on a daily/overnight basis using batch processes executing across an extensive and expensive hardware platform. Not anymore. Now, applying these record breaking technologies, Clients can have a continually updated view of their exposures in minutes regardless of their data footprint! And these results are just the beginning, with only four compute hosts and 13.5 terabytes of data, the approach scales naturally to much larger performance and capacity.
Fultech’s Managing Partner Paul Constantino asserted, “These compelling results from our Risk simulation are a promising first step to enabling and delivering complex intra-day and eventually real-time functionality previously not possible in the risk and analytics space. We also see great potential for use of these technologies across the trade lifecycle and plan to release new applications in the coming months. The successes our technology partners have demonstrated clearly pave the way for a new paradigm in performance, functionality, and scalability in the capital markets.”
Holding world records for latency, IOPS, and bandwidth, Kove® storage is the lynchpin for developing solutions that will approach real-time in risk, analytics and related processes for the capital markets. Kove Direct Storage Access (KDSA) technology outperforms all other SSD storage, maintains consistent speed at any capacity level including 100%, never degrades over time, and does not require periodic media replacement.
“We are pleased with this unprecedented high performance real-time Risk Solution record, another Kove first. This collaboration in deploying the Kove® XPD™ L2 memory disk for financial services is a continuation of our leadership in high performance storage, providing real world solutions for those who want the competitive advantage of the absolute fastest storage available,” states Kove CEO, John Overton. Industry partners are also impressed with XPD™ L2 performance.
“As seen in customer deployments and in STAC-M3 benchmark results, the eXtremeDB® Financial Edition database system raises the bar for speed and scalability in data-intensive trading applications. Risk management is an area of trading where eXtremeDB® can deliver the greatest benefits, meeting regulatory requirements, providing greater market stability, and protecting the large amounts of capital at stake. eXtremeDB® is the only database that has achieved this level of performance, while maintaining full ACID database properties and transactions,” said Steve Graves, McObject CEO.
Founded in 2001, Fultech Consulting is a capital markets advisory services company specializing in the delivery of innovative, enterprise-level solutions to our financial markets Clients. Focusing in trading, derivatives, risk, compliance and prime brokerage, Fultech delivers customized solutions implementing the latest technologies to improve performance and scalability. Visit www.fultechconsulting.com.
Formed in 2004, Chicago-based Kove is a pioneering leader in high performance memory-disk SSD storage. Kove provides patented, performance-based storage solutions to address the most competitive I/O needs in the industry. Visit kove.com.
Founded by embedded database and real-time systems experts, McObject provides the eXtremeDB database system product family to build low latency, high scalability and reliability into real-time financial systems while harnessing the growing volume of data in capital markets. Based in Issaquah, WA, McObject is committed to providing innovative technology and first-rate services to customers and partners. Visit http://financial.mcobject.com.