US based Federal Home Loan Bank of Topeka (FHLB Topeka) has chosen Principia's web-based derivatives valuation and risk analytics platform, in a bid to boost its derivatives analytics.
The new hosted multi-curve enabled platform will allow the lender to perform independent derivatives valuations, investment stress testing, risk management and financial reporting.
The technology captures the subtleties of OIS discounting, such as OIS curve construction, dual curve calibration, tenor/basis swap OIS-based curve adjustments, and the integration of OIS discounting into volatility calibration.
Principia president and CEO Theresa Adams said, "By quickly analyzing the impact of the fundamental changes in OTC markets, the bank is ahead of the curve, setting a strong example to the investment banking community."
Principia Partners offers a complete standalone platform for uninterrupted management of structured finance investments, including credit assets, fixed income investments and complex derivatives.
FHLBank Topeka is a privately owned, federally chartered company, which promotes housing and homeownership by providing wholesale products and services.
Managing nearly $35.4bn in assets and $1.8bn in capital, the bank serves 828 banks, thrifts, credit unions and insurance companies across Colorado, Kansas, Nebraska and Oklahoma.