iCPPI Insights

This section of our portal is intended to provide additional content relating to a typical iCPPI implementation. It is almost inevitable that any such implementation will involve extensive dealings with multiple external parties, whether this be in respect of Technology, Fund Management or Investment Banking expertise:

  • Technology: comprising Fund Admin and Policy Admin systems, either or both of which may be out-sourced to external parties. It may also comprise a technology platform that runs the daily iCPPI algorithm.
  • Fund Manager: providing the investment content.
  • Investment Bank: providing the downside protection (“derivative hedge”) against severe market movements (“gap-risk”) and potentially also managing the daily running of the iCPPI algorithm (in the case where an independent technology platform is not being used for this purpose). To make a clear distinction between general Investment Banking activity and the specific expertise being discussed here, we will hereafter refer to such banks as simply a market-risk ‘Hedge Provider’.

 

Over the coming months (commencing June 2017), and as a means to help bring together institutions potentially seeking to implement an iCPPI solution with those entities seeking to provide the market-risk hedge, we will be including a series of Hedge Provider and Technology platform ‘profiles’. The purpose of these short-form profiles will be to provide a brief overview of the respective entity together with contact details for the team responsible for their iCPPI activity.

Hedge Providers:

With respect to Investment Banks, we start this initiative by providing such a profile on Commerzbank AG.

iCPPI technology Platforms:

With respect to Technology platforms, we start this initiative by providing a profile on Socius Technologies Limited.