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AcadiaSoft and Quaternion Form Risk Services Partnership
Focus will be on developing products to simplify compliance with global initial margin regulations
Norwell, MA, and Dublin, Ireland August 2, 2018 – AcadiaSoft Inc., the leading industry provider of
margin automation solutions worldwide, and Quaternion Risk Management Ltd., a leading risk analytics
firm, today announced the formation of a partnership to provide risk services for firms subject to initial
margining requirements for non-centrally-cleared derivatives. The initiative couples AcadiaSoft’s proven
capabilities in automation with Quaternion’s extensive quantitative expertise and will enable AcadiaSoft
clients to access a range of services via the secure environment of the AcadiaSoft Hub.
“Combining AcadiaSoft’s existing infrastructure with our risk analytics tools presents opportunities to
create new products that will greatly benefit both the smaller players in the non-centrally-cleared
market facing near-term hurdles, as well as larger, established institutions looking to reduce spend on
functions that have become ‘business-as-usual’ and could now be more efficiently outsourced and
standardized,” said Donal Gallagher, chief executive officer at Quaternion.
Initially, the partnership will focus on helping firms with non-centrally cleared derivatives portfolios
meet the operational and regulatory challenges associated with margin requirements. On September 1,
2016, the largest banks that trade non-centrally cleared derivatives were required to post and collect
initial margin (IM) due to a new margin framework established by the Basel Committee on Banking
Supervision (BCBS) and the International Organization of Securities Commissions (IOSCO), and each year
since, and through 2020, those requirements touch a growing set of sell-side and buy-side firms.
“We expect to be able to significantly cut the burden placed on market participants by the non-cleared
margin rules and make achieving compliance a straightforward process – even for relatively small firms,”
said Fred Dassori, head of Risk Services and corporate development at AcadiaSoft. “After collaborating
with the team at Quaternion on a range of projects over the past year, we’re excited to now be
formalizing our partnership, and we’re looking forward to working together to greatly expand the set of
tools we offer and give our clients a simple and efficient path forward.”
By offering these future services through the same platform as AcadiaSoft’s existing Initial Margin
Exposure Manager and MarginManager products, which sit at the heart of the current IM calculation,
reconciliation, and collateral messaging processes, AcadiaSoft and Quaternion aim to make their new
risk services as seamlessly-integrated into existing industry workflows as possible.
About AcadiaSoft, Inc.
AcadiaSoft, Inc. is the leading industry provider of risk and collateral management services for
the non-cleared derivatives community. The AcadiaSoft Hub encompasses a suite of
applications and analytics that enable and measure the complete STP workflow from CSA
agreement management, risk services, margin and collateral management through to
settlement. Backed by 17 major industry participants and market infrastructures, AcadiaSoft is
used by a community of more than 650 firms exchanging approximately $400B of collateral on
daily basis via its margin automation services. AcadiaSoft is headquartered in Norwell, MA and
has offices in London, New York and Tokyo.
For more information visit acadiasoft.com.
About Quaternion Risk Management
Quaternion Risk Management Limited is a capital markets consulting practice advising on and
implementing complex projects with a focus on the quantitative aspects of risk management, trading
and finance. Quaternion has worked with some of the world’s leading financial institutions. The firm is
headquartered in Dublin, Ireland with offices in London, Dusseldorf and New York. Quaternion partners
with Columbia University on systemic risk projects and launched Columbia University’s Fintech Lab in
late 2016. opensourcerisk.org is Quaternion’s open source contribution to the risk community.
For more information on Quaternion, see www.quaternion.com
+44 20 3954 0196
Quaternion Risk Management
+353 1 678 7922