News & Insights

Elwood Technologies Unveils Enhanced Risk Management Capabilities

14 February 2023

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Press Release

Live Position and Exposure tracking, Scenario Analysis, Collateral Monitoring and DeFi among the latest tools slated to strengthen the institutional trading platform

LONDON, UK – 14 February 2023 – Elwood Technologies (“Elwood” or “the Company”), a platform providing institutional access to digital asset markets, extends its product offering with advanced Risk Management tools, providing clients the functionality to perform Live Position and Exposure tracking, Scenario Analysis, and Collateral Monitoring. These features have been made available to Elwood’s institutional client base via their Portfolio Management System (PMS).

Elwood Technologies CEO, James Stickland, commented on today’s news: “Elwood understands that financial institutions expect a digital asset product that upholds the standards set by traditional asset classes. During an exclusive access period, we’ve had tier one clients utilise these capabilities and the feedback has been excellent. With a suite of enhanced risk management tools now being added to our PMS, the Elwood platform enables institutions to invest in digital assets with the same confidence that they’ve had trading traditional assets for decades.”

The advanced Risk Management Technology already deployed across select institutional Elwood clients provides significant new functionality within the PMS, offering clients the tools to perform Live Position and Exposure tracking, Advanced Risk Analytics, Reporting and Collateral Monitoring. The Live Position and Exposure tracking feature combines all CeFi, OTC, and DeFi exposures in a single dashboard and details Live PnL and Risk (first and second order) per portfolio across all venues. The Advanced Risk Analytics tool, built on top of 20-year battle-tested quant models, provides a derivative valuation tool and the ability for clients to perform Scenario Analysis by simulating the portfolio’s spot and volatility shocks. The reporting tool offers daily risk, P&L and accounting reports, including VaR calculation and What-If scenarios. Finally, the Collateral Monitoring tool allows users to monitor margin across all exchanges and set bespoke limits and alerts.

Stickland continued, “Risk Management is a critical tool to combat issues arising from overexposure in the market. It’s a factor that has deterred investors from this asset class to date, and in conversations with executives across the market, it’s clear these tools will help ease institutional transition into digital assets.”

To accommodate and support the new functionality within the PMS, Elwood has added over 50 employees with expertise in engineering, quantitative analysis, and product development. The team is now over 165 members strong, with offices in the U.K., U.S., Jersey, and Singapore.

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