Press Release
Principia launches Asset Backed and Mortgage Backed Securities capability in the Principia Analytic System
Principia Partners delivers full functionality for all ABS/MBS products
New York, November 21, 2000 – Principia Partners LLC, a leading
provider of full front-to-back office systems for global capital
markets, today announced full support for ABS/MBS functionality as
part of version 3.0 of the Principia Analytic System (PAS). For ABS,
this includes structures backed by cash flows from home equities,
credit card receivables and auto loans, while MBS covers collateralised
obligations and commercial MBS, amongst others. Full straight-through
processing capability is provided for all products.
Version 3.0 of the PAS system enables financial institutions to manage day-to-day ABS/MBS trading activities including risk analysis, trade/deal capture, accounting and full compliance reporting. With PAS, the ABS/MBS market has a unified pricing and analytical solution that allows deal capture information to flow seamlessly from the front office through to the back-office for full reporting and sub-ledger processing – eliminating the compatibility and reconciliation issues that arise when multiple systems are required as part of a solution.
Implementation of the PAS system is the fastest and easiest in the industry, allowing a dealer to begin trading within days of installing the system. PAS is also easy to maintain and does not require dedicated systems administration personnel – a critical concern for today’s capital market groups, which typically have lean system support staff and rapid implementation demands.
Brian Donnally, one of Principia’s founding partners, states: "We identified a gap in the market for a unified solution that could handle all elements of ABS/MBS investments as well as associated interest rate derivatives. The global proliferation of asset-backed commercial paper programmes over the last few years has created a growing demand for such capabilities. The work we have completed on 3.0 is unique, and it brings modeling capabilities to a level we believe is not available for the ABS/MBS market today."
The PAS system supports the addition of the Intex Solutions Inc. database and subroutine libraries containing over 10,000 modeled ABS/MBS securities, and PAS provides full processing capabilities for all such instruments. The system also captures prepayment risk through the incorporation of the Andrew Davidson & Co. pre-payment models. PAS offers a unique combination of a turnkey product that provides portfolio analysis, risk management, hedging and VaR, in addition to full accounting functionality capable of meeting international reporting standards such as FAS 133 and IAS 39.
Brian continues: "At Principia we have demonstrated proven experience, success and commitment to Structured Investment Vehicles managing ABS/MBS instruments. Our clients are among the largest issuers and investors of structured debt, asset-backed, and mortgage-backed securities globally. Our integrated approach has given clients a one-stop solution for all complex instruments, offering a truly unified system for front, middle and back office processing."
About Principia Partners
Founded by a group of finance and technology professionals, Principia Partners offers a fully integrated front to back office solution for management of financial assets, liabilities and derivatives. The Principia Analytic System covers fixed-income (including ABS/MBS), FX and equity index products. The sub-ledger facilitates full compliance with both FAS 133 and IAS 39 accounting regulations. Principia's target market is composed of end-users, dealers, fund managers and other entities that require sophisticated processing capability without the desire or resources to develop internal systems. For more information about Principia, see www.principiapartners.com.
For press information contact:
Shamira Alidina
Write Image
271 Regent Street
London W1B 2BP
shamira@write-image.co.uk
Tel: + 44 (0) 20 7959 5450
Fax: + 44 (0) 20 7493 5499
Email: shamira@write-image.co.uk