CubeLogic Customer Newsletter – Q1 2017
In this first semi-annual newsletter we provide customers and prospects with updates on:
- the recent Management Buy-Out of CubeLogic from its parent company OpenLink Financial,
- details of key Appointments to the Cube Team,
- Launch of the Risk3 product range in partnership with Lacima,
- our plans for MiFID II,
- news of three important new customer signings,
- plans for the 2017 user group meeting, training programme and
- Product News.
In late 2016 the management team of CubeLogic led by David Priestley and Lee Campbell completed the Buy-Out of the CubeLogic division of OpenLink Financial. The division provides Risk, Liquidity and Compliance solutions to many of the world’s largest Energy and Commodity traders as illustrated by the CubeLogic timeline below.
Since the acquisition the company has increased staffing and placed a real emphasis on customer service and support. Bug fixing and resolving support tickets has been a key focus. The below chart shows are burndown rate of support tickets since September.
Already a leader in Credit Risk solutions in the sector the buyout provides the funding, strategic direction and resources required to accelerate growth in Market Risk, Liquidity management and Regulatory Compliance.
- David Priestley – Executive Chairman linkedin
- Lee Campbell – Chief Executive Officer linkedin
- Riyaz Mulla – Offshore Operations linkedin
- Roderick Austin – MD Americas linkedin
- Tony Frangiamore – Sales for EMEA and APAC linkedin
- Richard Bourne – Chief Operating Officer linkedin
- Alan Conner – Senior Consultant, Houston
- Simon Calvert – Product Director, Houston linkedin
- Chris Cantle – Chief Technology Officer, London linkedin
- Shakeel Inamdar– re-joined CubeLogic, heading up our support team linkedin
Risk3 Product Launch
At the e-world conference in Essen this year we teamed up with Lacima to launch Risk3. An enterprise Risk and Compliance platform providing flexible, cost effective and modular solutions to:
- consolidate the risk management of market, credit and liquidity risk factors generated by multiple energy / commodity trading solutions (E/CTRM’s) and spreadsheets, either developed in‑house or provided by 3rd party vendors.
- greatly augment the valuation, market and credit risk management and near real‑time slice and dice reporting capabilities provided by a single E/CTRM.
- drive point solutions to business problems such as; streamlining corporate master reference data management, implementing KYC and customer on-boarding workflows, providing regulatory compliance reporting and much more.
CubeLogic’s business intelligence driven approach to risk management and reporting powered by “Analytics from Lacima” with advanced analytics to simulate spot & forward prices, calculate Mark to Market values, VaR, PFE and other risk metrics for a wide range of contract types, provides a compelling and comprehensive solution set capable of managing all risk exposures generated by any entity which trades either physical commodities and / or financial contracts.
Proven integration capabilities across multiple E/CTRM’s and spreadsheets enable fully consolidated assessments of market, credit, liquidity and regulatory risk factors with comprehensive drill down capabilities. This leads to faster, more accurate risk assessments enabling timely actions to be taken to within your business to mitigate your risks
Plans for MiFID II
CubeLogic have a comprehensive roadmap of change with the Regulatory Cube for 2017. The main initiative will be to provide our clients with support for the forthcoming MiFID II regulations for investment firms. We are utilizing and extending our existing position limits capability into a new MifID II ruleset component within Regulatory Cube to support mandatory limits under MifID II. In addition, we will be providing Transaction reporting (RTS22). We feel this will complement our existing Regulatory offerings and give clients the option of leveraging their existing Cubes to support MifID II requirements. We have several clients already interested in this offering so contact us if you require more information.
CubeLogic welcomes a number of new clients to our customer base following the management buy-out. Firstly Green Plains, a US based producer of ethanol, chose CubeLogic to help them manage trading positions and PnL, with extensive visualization dashboards. Jera, a Singapore based energy company with extensive LNG trading, implemented Credit Cube to help manage their exposures and credit risk. Finally, late in Q4 Koch Supply & Trading engaged CubeLogic, with a large exciting programme of roll-out and new developments. All this validates our product strategy and we welcome these new clients to the CubeLogic family.
CubeLogic held its first user group meeting since the MBO in November 2016. The event was well attended by over 20 of our Blue Chip customers.
Given our US growth we plan to hold 2 user group meetings in 2017 :
- Houston – October 2017
- London – 9th/10th November 2017
2016 saw the release of v5.2 which has been our most stable and functional release to date. Version upgrades include;
- 33 new features for Credit Cube
- 18 new features for Regulatory Cube
- new features in workflow and core
- treasury cube releases with new portal screens
- 14 bug fixes
So far we have had 2 existing clients successfully implement the upgrade and looking to upgrade more in the next quarter. Any new client wins will of course start on this latest version. Whilst v5.2 is a great leap forward, as with any technology product, it is never complete! Development is ongoing with v5.3 in February and v6 later in the summer.
We have now set up our Azure Cubes in the Cloud environment and have run successful demos. This environment can also be used for clients to get an early look at new releases.
Other product features continue to be developed including our first set of dashboards and visualisation in Microsoft’s Power BI. Power BI complements the Cube products by enabling the visualisation and analysis of data in user friendly format.
Following a very successful training session in Houston in late 2016 we will be launching standard training courses for 2017. It’s clear that new faces are joining our user base at different clients all the time and existing users also need a refresher from time to time, to ensure they get the maximum benefit from the Cube. These training events will be scheduled as one-day events on specific dates in different locations, and available to all clients and partners for a small registration fee. We aim to have the first of these sessions in Q2 in London and more details will follow in due course.