InsuranceERM Annual Awards 2020 - UK & Europe - Winners
Written by InsuranceERM.
Economic scenario generators (ESGs) are critical to insurers' risk and capital management processes and demands for greater innovation in these offerings is intensifying.
Moody's Analytics' Economic Scenario Generation Solutions holds a leading position in the market, and the firm says it continues to support both new and existing clients in key areas including capital strategies, streamlining modelling processes by increased automation and helping to build robust investment strategies.
It also deploys what it calls "best of breed" models and calibrations to help calculate asset estimates with current accounting standards and regulations firmly in mind.
Developments in the past year have included introducing its "Cloud Burst Service", a combination of its existing offering and grid computing technologies. The end result allows users to run the ESG in the Moody's Analytics' own cloud environment, providing easy access to computing cores and reducing run time.
The year has also seen the introduction of IFRS 17 yield curve services, providing fully fitted curves each quarter across a number of economies appropriate for use in an IFRS 17 environment based on its own methods.
From a regulatory perspective, Moody's Analytics has made enhancements to its capital modelling applications in line with regulatory requirements, specifically to align with changes to Solvency II and stress and scenario testing methods.
In addition, the firm said it would be introducing beta and test calibrations to explore enhancements made by the European Insurance and Occupational Pensions Authority.
Judges were quick to praise the offering, noting it was a "fast and comprehensive solution with intercontinental reach".