MONITORING FINANCIAL RISKS USING A QUANTITY LEDGER
The present disclosure describes methods, systems, and computer program products for monitoring financial risks using a quantity ledger. One computer-implemented method includes receiving a contract, wherein the contract includes at least one transaction, parsing the contact to identify the at least one transaction, deriving, by operation of a computer, at least one associated future transaction for the at least one transaction, logging the derived at least one associated future transaction to a quantity ledger, aggregating, by operation of a computer, the logged quantity ledger data to determine the presence of an exposure, and applying at least one rule to determine if an exposure mitigating action should be performed based upon the aggregated logged quantity ledger data.
1 . A computer-implemented method comprising:
receiving a contract, wherein the contract includes at least one transaction;
parsing the contact to identify the at least one transaction;
deriving, by operation of a computer, at least one associated future transaction for the at least one transaction;
logging the derived at least one associated future transaction to a quantity ledger;
aggregating, by operation of a computer, the logged quantity ledger data to determine the presence of an exposure; and
applying at least one rule to determine if an exposure mitigating action should be performed based upon the aggregated logged quantity ledger data.
2 . The method of claim 1 , wherein the at least one associated future transaction is derived in parallel for two or more identified transactions.
3 . The method of claim 1 , wherein the logged data is stored in the quantity ledger as at least one quantity flow.
4 . The method of claim 3 , wherein the quantity ledger is divided into at least one quantity position, each quantity position representing a set of selection criteria associated with a valuation purpose for at least one quantity flow.
5 . The method of claim 3 , wherein an exposure is defined as a quantity flow with a contract value deviating from an internal value.
6 . The method of claim 3 , further comprising selecting flows in the quantity ledger based upon at least one quantity position.
7 . The method of claim 1 , wherein aggregated quantity flows must balance to zero.
8 . A non-transitory, computer-readable medium storing computer-readable instructions executable by a computer to:
receive a contract, wherein the contract includes at least one transaction;
parse the contact to identify the at least one transaction;
derive at least one associated future transaction for the at least one transaction;
log the derived at least one associated future transaction to a quantity ledger;
aggregate the logged quantity ledger data to determine the presence of an exposure; and
apply at least one rule to determine if an exposure mitigating action should be performed based upon the aggregated logged quantity ledger data.
9 . The medium of claim 8 , wherein the at least one associated future transaction is derived in parallel for two or more identified transactions.
10 . The medium of claim 8 , wherein the logged data is stored in the quantity ledger as at least one quantity flow.
11 . The medium of claim 10 , wherein the quantity ledger is divided into at least one quantity position, each quantity position representing a set of selection criteria associated with a valuation purpose for at least one quantity flow.
12 . The medium of claim 10 , wherein an exposure is defined as a quantity flow with a contract value deviating from an internal value.
13 . The medium of claim 10 , further comprising instructions to select flows in the quantity ledger based upon at least one quantity position.
14 . The medium of claim 8 , wherein aggregated quantity flows must balance to zero.
15 . A computer system, comprising:
a memory configured to hold a contract; and
at least one computer interoperably coupled to the memory and configured to:
receive the contract, wherein the contract includes at least one transaction;
parse the contact to identify the at least one transaction;
derive at least one associated future transaction for the at least one transaction;
log the derived at least one associated future transaction to a quantity ledger;
aggregate the logged quantity ledger data to determine the presence of an exposure; and
apply at least one rule to determine if an exposure mitigating action should be performed based upon the aggregated logged quantity ledger data.
16 . The system of claim 15 , wherein the at least one associated future transaction is derived in parallel for two or more identified transactions.
17 . The system of claim 15 , wherein the logged data is stored in the quantity ledger as at least one quantity flow.
18 . The system of claim 17 , wherein the quantity ledger is divided into at least one quantity position, each quantity position representing a set of selection criteria associated with a valuation purpose for at least one quantity flow.
19 . The system of claim 17 , wherein an exposure is defined as a quantity flow with a contract value deviating from an internal value.
20 . The system of claim 17 , further configured to select flows in the quantity ledger based upon at least one quantity position.
21 . The system of claim 15 , wherein aggregated quantity flows must balance to zero.
22 . A computer-implemented method comprising:
receiving a contract, wherein the contract includes at least one transaction;
parsing the contact to identify the at least one transaction;
deriving, by operation of a computer, at least one associated future transaction for the at least one transaction, wherein the at least one associated future transaction is derived in parallel for two or more identified transactions;
logging the derived at least one associated future transaction to a quantity ledger, wherein the logged data is stored in the quantity ledger as at least one quantity flow, and wherein the quantity ledger is divided into at least one quantity position, each quantity position representing a set of selection criteria associated with a valuation purpose for at least one quantity flow;
selecting flows in the quantity ledger based upon at least one quantity position;
aggregating, by operation of a computer, the logged quantity ledger data to determine the presence of an exposure, wherein an exposure is defined as a quantity flow with a contract value deviating from an internal value, and wherein aggregated quantity flows must balance to zero; and
applying at least one rule to determine if an exposure mitigating action should be performed based upon the aggregated logged quantity ledger data.