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Industry Risk Classification

An essential risk mapping tool for firms utilising ISDA SIMM™ for initial margin.

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Leverage the most comprehensive risk bucket mapping service

Simplifying your UMR compliance and reducing the potential for errors

Our Industry Risk Classification service was designed for all firms in scope for Uncleared Margin Rules (UMR) that are utilising ISDA SIMM™ for their regulatory initial margin. As prescribed by the model rules, firms are required to map the risk class of each underlying credit and equity ISIN to standard SIMM risk buckets. Due to our role in the market, nearly 100% of in-scope firms' CRIF (Common Risk Interchange Format) files are incorporated in the defining of risk buckets, significantly lowering the potential for differences in mapping risk buckets - often a cause for disputes.

Streamline your UMR workflow‍

Industry Risk Classification (IRC) is an important aspect of your ISDA SIMM™ model governance. For clients that subscribe to our IM Risk Generator service to calculate their risk sensitivities, IRC is automatically utilised as the default risk bucket mapping tool.

IRC is available for all in scope firms to leverage as part of their UMR compliance framework. A daily snapshot of the final calculation is taken at 07:00 UTC on each business day. Our service supports mapping for over 65,000 ISINs – making it the largest database of ISINs.

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Features & benefits

Key Benefits

design-development/large/position

Definitive source of ISDA SIMM™ risk bucket mapping – incorporating data from nearly all CRIF submitting firms

business-finance/large/goal-1

Easily identify differences between your firm’s data and your counterparty and crowdsourced values

business-finance/large/hierarchy-3

Provides broad ISIN coverage and supports risk bucket mapping for over 65,000 ISINs

design-development/large/todo

Reduce collateral disputes where both parties apply the crowdsourced value

business-finance/large/bank

Automatically utilised as the default risk bucket mapping tool for all IM Risk Generator clients and is included in your subscription

Driving the derivatives industry forward

We offer more than just Industry Risk Classification. Find out how we can analyse your portfolio.

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By submitting this form, you agree to your personal data being shared within the London Stock Exchange Group of companies (LSEG) for the purpose of receiving communications via post, phone and electronic means from LSEG about event, resources, products, and/or services.

For more information on how LSEG uses your data, see our Privacy Statement. You can adjust your preferences at any time through the preference link in any electronic communication that you receive from us.

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