Independent model validation and appraisal is an important concern in the world of derivatives, where quantitative models play an increasingly important role. Finance Concepts has extensive experience in model review and validation for large financial institutions.
We provide expert advice on the acquisition or design of new software solutions for front- and middle-office applications. Our approach to model validation reviews modeling assumptions, computational aspects, parameter calibration, data sources and best market practices.
The ever increasing use of complex financial products has led to the development of increasingly complex models which have a direct influence on the practical strategies for restructuring, pricing and trading successfully. As a result, the knowledge of modeling, algorithms, finance and computing is necessary to efficiently use quantitative modeling in risk management. Finance Concepts integrates the different aspects of quantitative modeling, model implementation and numerics in its integrated approach to risk management.