Ensure you have sufficient liquidity to meet your margin calls in stressed markets.
Assess the impact of historical events on your cashflow.
Understand the sensitivity of your portfolio to margin risk factors.
Stress Test
Stress test your
liquidity
requirements.
Assess the impact of stress scenarios on initial and variation margin requirements. This allows Treasury teams to ensure sufficient liquidity is available to meet margin calls in all market conditions, and avoid the need to liquidate positions.
Stress Test
Replay historical
events.
Understand how historical market events impact your current portfolio, and ensure you have sufficient liquidity available to withstand similar situations.
Stress Test
Understand market
sensitivities.
Margin requirements are affected by changes in multiple market factors. Understanding how each of these factors impacts your liquidity requirements is critical to increasing the capital efficiency of your portfolio.
