DATABASE INTEGRITY, FUNCTIONALITY AND REPORTING

Client: NYSE listed E&P Company

 

Problem: The client needed to rerun quarterly analytics on a hedge portfolio of swaps and options for the last two years due to portfolio adjustments.

 

Solution: R^2 maintains a database of all hedge transactions. Working with our clients to thoroughly check entries, the database accurately captures all deals and provides an audit trail for all trades so modified and terminated deals can be monitored. This database is seamlessly linked to our valuation analytics, which pulls historical pricing and volatility data. Prior period evaluations can be run accurately and efficiently.

 

R^2 incorporated the requested changes into the client portfolio. After internal reviews, a report was provided to the client that identified these changes for their review and approval. Once the client had confirmed that all modifications to the portfolio were accurately recorded, R^2 ran the prior period reports as required.

 

Conclusion: R^2 maintains an accurate database of all hedges for its clients. Initial inputs are reviewed by R^2 staff and then by clients. Once trades have been verified as complete and accurate, a variety of reports are available to clients for any prior date. Reports and analysis are provided to clients at the end of each reporting period and as requested.