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Toronto, London – 4^th April 2011 – Building on its proven track record with leading insurers, Algorithmics announced today the launch of two new editions of its award-winning Solvency II solution that are designed to meet the precise requirements of the whole insurance market. Insurers can now choose from abroad range of solutions designed to meet their specific requirements for calculation of solvency capital, governance and reporting depending on their size, and desired level of sophistication.

The preferred choice of two thirds of the members of the CRO Forum, Algorithmics’ current Economic Capital and Solvency II solution delivers a ‘best practice’ solution for Solvency II, built from working with leading insurers. The experience built up in these engagements, together with Algorithmics’ extensive actuarial modelling expertise of Algo Financial Modeler (formerly VIPitech), is now being offered in two new editions for the broader insurance market.

Curt Burmeister, Vice President of Risk Solutions at Algorithmics, said: "This represents another major development of our Economic Capital and Solvency II solution, setting Algorithmics apart from everyone else in the market as capable of delivering the solution that best meets the needs of each and every insurance firm. Built on the success of our flagship Enterprise Edition, the two new editions introduce pre-configured capability designed to give clients more confidence in meeting their regulatory deadline under Solvency II. It also gives them the ability to scale up across the range of editions at any time to take advantage of more analytical power and greater robustness as future growth demands.”  

The three editions of Algorithmics’ Economic Capital and Solvency II solution are:

• Compliance and Reporting Edition
• Standard Edition
• Enterprise Edition

Each edition is designed to be a complete end-to-end solution that covers the three pillars of Solvency II. Features that are core to each include analytics, governance and reporting, with varying degrees of complexity to match the different requirements across the breadth of the insurance industry. If insurers need to deal with greater complexity, for example, in changing from applying standard formula to building internal models, there is also a clear migration path to more powerful editions, which is designed to ‘future proof’ the solution,  An active user group of development partners will also help clients to adapt to regulatory changes.

Dr Andrew Aziz, Executive Vice President of Risk Solutions at Algorithmics, added: "I know that our Solvency II solution, with each of its editions specifically designed to target different needs within the insurance market, will become the industry standard for Solvency II.  For insurers concerned that they are behind with their Solvency II programs, these editions provide pre-configured solutions, built on existing industry best practices, which lower project risk and give our clients a valuable lifeline to help them hit looming Solvency II deadlines. Looking to the future, the migration path between the editions ensures that clients may ‘think big but start small’ - by providing them with the ability to step up a level to the other more powerful options available.”

For more information about Algorithmics’ solutions for the insurance industry, visit:

http://www.algorithmics.com/EN/solutions/riskCapitalInsurance.cfm?wt.mc_id=1104WCS2_PLAL01

For more information about Algorithmics' award winning and patented solutions, visit: http://www.algorithmics.com/

ENDS

For further information please contact:
Heather Smith, Senior Communications Manager, Algorithmics (UK) Ltd
Direct line +44 (0) 20 7392 5820  Mobile+44 (0) 7515 974223
E-mail Heather.smith@algorithmics.com

Notes to Editors:

Algorithmics is the world's leading provider of risk solutions. Financial organizations from around the world use Algorithmics' software, analytics and advisory services to help them make risk-aware business decisions, maximize shareholder value, and meet regulatory requirements. Supported by a global team of risk experts based in all major financial centers, Algorithmics offers proven, award-winning solutions for market, credit and operational risk, as well as collateral and capital management. Algorithmics is a member of the Fitch Group. http://www.algorithmics.com/

Economic Capital and Solvency II solution is specifically designed to meet the needs of the insurers irrespective of their size, complexity, and level of sophistication. The solution comes in three editions which are complete end-to-end solutions that cover the three pillars of Solvency II by addressing the calculation of solvency capital, governance and reporting.  Economic Capital and Solvency II solution delivers a ‘best practice’ solution for Solvency II, built from working with leading insurers and provides pre-configured editions which help to lower project risk and give insurers more confidence to meet their Solvency II deadlines. Looking beyond the deadlines, as insurers’ needs change, the migration path between the editions offers insurers the opportunity to scale up to more powerful and complex analytics on Algorithmics’ award winning and proven platform.

Algo Risk for insurance is an award-winning framework with associated workflow management and audit tools for modeling insurance assets and liabilities on a market consistent basis, enabling firms to view their risk holistically across the enterprise.  Addressing the diverse needs of risk managers, actuaries, quants, portfolio managers and traders, Algo Risk supports multiple asset and liability valuation methodologies, risk aggregation, economic and regulatory capital calculations, scenario generation techniques, risk/portfolio analytics, asset classes and investment strategies. Decision support functions such as "what-if" analysis, "best hedge" recommendations and capital allocation are provided in addition to automated and detailed risk reporting.

Algo Financial Modeler, formerly VIPitech, is a market-leading software used for actuarial and financial analysis by insurance firms. The building and interaction of a large and complex company is made simple in the development environment of the system. Designed for actuaries, asset and liability models contained in Algo Financial Modeler are easy to use, understand and review.  Due to its modular concept and optimized production environment, the actuarial code is streamlined and reused efficiently to perform all the functions in the actuarial control cycle and for balance sheet calculation of capital and liabilities for regulatory regimes such as Solvency II.

Fitch Group is the parent company of Fitch Ratings, a global ratings agency committed to providing the world's markets with independent, timely and prospective credit opinions. With 49 offices worldwide, Fitch Ratings’ global expertise spans across capital markets in over 150 countries. Fitch Ratings is headquartered in New York and London.

The Fitch Group also includes Fitch Solutions, a distribution channel for Fitch Ratings products and a provider of data, analytics and related services; and Algorithmics, the world's leading provider of enterprise risk solutions.

The Fitch Group is a majority-owned subsidiary of Fimalac, S.A., headquartered in Paris, France.

For additional information, please visit http://www.fitchratings.com/  http://www.algorithmics.com/ and http://www.fimalac.com/

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