EasyShield is EasyScreens advanced real time risk management system. Incorporated within Easy Active Trade, it operates on a pre trade basis but it is also offered as a stand alone real time post trade risk system that is trading platform independent.
Within Easy Active Trade, EasyShield is a very sophisticated pre trade risk management system. Start of day balances are uploaded from the customers back office system (R&N, GMI etc) when overnight processing has been completed. Balances include, open positions, cash balances, open trade equity and initial margin amounts. Pre trade risk management can be operated either on a lot limit basis or on a buying power basis or both. Lot limits can be set for both individual contracts and by overall exchange. Buying power limits are based on real time initial margin requirements compared to available equity. EasyShield supports real time SPAN and TIMS margin calculations. Different thresholds can be set for different customers i.e double margin rates, 75% of equity etc. The system automatically blocks trading for anyone exceeding limits or thresholds but will allow reducing trades only. Risk administration can be set at different levels of authority and provides clear and informative watch windows and alerts either by account or by contract / exchange.
EasyShield also operates as a platform agnostic real time post trade risk management system. By taking trade feeds either directly from exchanges, middleware (Clearvision, Emos etc) or from other trading platforms, EasyShield can effectively risk manage on a consolidated basis across multiple platforms. Operating in the same way as the pre trade system, EasyShield uploads the start of day balances and positions from the customers back office system after overnight batch processing has been completed and performs continuous realtime initial margin, net liquidation value, p/l and open position calculations. Clear and intuitive traffic light warnings alert administrators on a timely basis to potential risk situations while the configurable watch windows provide real time enterprise wide views of account positions and balances.
While EasyShield has originally been developed for the futures, options and commodities markets, it is designed to risk manage any type of asset class and can potentially be used for FX, CFD's or any OTC contract. The initial margin requirements for different contracts can be individually set based on risk managers perception of risk and can also be flexed at overall account level.