Briefs

London 8 July 2003 - KXEN, the global predictive analytic software company, has signed an OEM agreement with Almonde, the provider of performance management software solutions for financial institutions. Almonde leverages KXEN's analytic modelling functions within Almonde Credit, a credit risk and exposure management solution.

Almonde Credit enables financial institutions to achieve compliance with the new Basle II accord quickly and inexpensively, while laying the foundation for an Economic Value Management framework to enable better decision-making and as a result enhanced profitability.

Financial institutions typically lack the product modelling and analytics necessary to proceed with an internal ratings based (IRB) approach for Basle II. By embedding KXEN within the internal ratings module of Almonde Credit, banks can move towards an IRB approach and reduce their capital requirements for credit risk.

By incorporating regression analysis which develops predictive models for credit analysis, KXEN delivers a reliable behavioural score model. This is then used to evaluate the probability of customer default, perform back testing of credit ratings, and evaluate the quality of portfolios by comparing the quality of business between different areas and industry sectors.

For more information, visit www.kxen.com.