At the request of its many users, SD-FX now includes additional cutting-edge exotic foreign exchange (FX) options, such as multi-period faders with knock-outs and accumulators, basket options and variance swaps. A correlation module has also been added, allowing the real-time calculation of correlation-dependent options.
For the benefit of its rapidly expanding corporate base, SuperDerivatives has also added numerous new structured products to SD-FX, including 10-types of âforward-likeâ structures. These are seen as an important bridge to derivative use for corporations who have previously only utilized forward transactions for hedging, but who now want to learn how to use options.
New functionality has also been added to enable bankâs sales staff to assist their clients by analyzing the efficiency and profitability of trade ideas. In addition SD-FX has added further emerging market currency pairs that have recently become more liquid. This includes the provision of full volatility surfaces, which also extends to the SD-MM-Reval service â this provides daily portfolio revaluations to clients using accurate and independent market rates. SD-FX now includes currencies such as the Slovenian Tolar (SIT) and Vietnamese Dong (VND), further underlining SuperDerivativesâ continuing commitment to its original mission of bringing transparency to all currency markets.
"A major reason why SD-FX has become so popular is because our clients play a key role in its ongoing development. We have responded to customersâ feedback and the new functionality has been added specifically at their request. For example, Correlation trading has become increasingly popular in the market, as have complex fader structures and variance trades; therefore, we have swiftly added them to the system. SuperDerivatives is committed to support all option structures as they become popular on all currencies," says David Gershon, President and Chief Executive of SuperDerivatives.
"The new version of SD-FX is a major upgrade and it includes over 200 new features. We are totally committed to maintaining SD-FXâs position as the marketâs benchmark option pricing system and will continue to set the standard others have to try and follow," adds Gershon.
The latest release includes many new tools for corporate users and fund managers. Among them are powerful risk management utilities, such as the volatility sensitivity analyzer. This lets portfolio-managers assess the potential exposure of their options portfolio to simultaneous changes in both the spot rate and implied volatility, based on real market prices. A new hedging Strategy Wizard has also been added; this automatically suggests effective strategies for hedging specific currency exposure, subject to parameters defined by users. The new version of SD-FX produces sets of reports for corporations to help them measure the hedging efficiency of given cash flows.
SuperDerivativesâ products are used by numerous companies from both the buy and sell side. Its pricing platform for currency options SD-FX is used by almost all the banks around the world that are active in currency options, and numerous corporations and hedge funds, auditors and central banks.