Conning Upgrades Financial Modeling Platform

Version 5.6 provides clients with enhanced next generation tools to better recognize major shifts in the bond markets following the global financial crises, according to the vendor.

Conning (Hartford), a provider of asset management services, risk and capital management solutions, and research to the insurance industry, today announced several enhancements in the latest release of its ADVISE 5.6 Advanced Stochastic Modeling and GEMS 5.6 Economic Scenario Generator (ESG) Platform.

According to the vendor, Version 5.6 provides clients with enhanced next generation tools to better recognize major shifts in the bond markets following the global financial crises. The platform incorporates what Conning describes as sophisticated risk dynamics that capture severe market stresses related to credit risk migration and default risk in corporate bond markets and the U.S. municipal bond market. Other new features and usability enhancements help insurers better account for investment risk and solvency requirements. The Version 5.6 platform now includes 3 core models: the Corporate Security Model, a new Corporate Yield Model, and a more advanced Municipal Security Model, the vendor reports.

"This latest version of these financial models enable insurers to adapt to the changing realities of the capital markets so they can better understand and manage investment risk," comments Stephen Sonlin, CFA, managing director and head of Conning's Risk & Capital Management Solutions business. "Many of the enhancements we have made address client needs and will help insurers to more easily handle compliance with new laws, regulations and best practices."

Among the highlights of the new release are the following, according to a vendor statement:

- New Corporate Yield Model that provides a robust investment modeling framework for both market consistent and real world applications

- Expanded capability in the U.S. Municipal Security Model to permit users to capture the broad range of credit quality available in the municipal bond market and include severe market stress situations

- Enhanced reporting and query tools for Solvency II and other applications

Anthony O'Donnell has covered technology in the insurance industry since 2000, when he joined the editorial staff of Insurance & Technology. As an editor and reporter for I&T and the InformationWeek Financial Services of TechWeb he has written on all areas of information ... View Full Bio