Less arithmetic in scattered spreadsheets, more grip on limits, liquidity and currency.
FRM records the monthly position of your portfolio, monitors limits and covenants, tracks countries, liquidity, currency and interest rate exposure, and gives the risk committee a pack whose figures stop moving once frozen. For funds, impact investors and other lenders that manage their own financial risk. Built and hosted in the EU.
From now to next
From monthly spreadsheets to one frozen risk picture
Financial risk management at a fund or lender often lives in a series of workbooks: the exposure, the limits, the countries, the currency table and the committee pack. Reconciled again every month, with the same question every month about which version was right.
The monthly position comes from an export nobody checks
A CSV from the core system goes into the workbook. A wrong currency code is spotted in the committee meeting.
Exposure hub with reconciliation
Import CSV or Excel; the column mapping is remembered per organisation, findings are listed per row with a suggestion, and the position must reconcile to a control total before the month is frozen.
Limits live in a policy document
The threshold is on paper, the utilisation in a tab. Whether a breach was followed up is an e-mail thread.
Limits as versioned objects
Warning level, hard limit, direction and denominator, versioned from a given month. A breach opens its own file with an owner, a remediation plan and a waiver with an end date.
Country risk is updated once a year
Ratings, outlook and ceilings sit in a list nobody dates.
Country register with ceiling and log
Ratings from three agencies on one scale, class and ceiling, utilisation from the hub and a warning from 85% of the ceiling. Every change carries a reason and a source, and a downgrade notifies the owner.
The currency position is a table in the annual report
Net open position and sensitivity are calculated once a year, for the auditor.
Live currency position with indicative VaR
Per month and currency the net open position, utilisation and status, sensitivity to a shock, and a historical VaR on public ECB reference rates, always labelled indicative.
The committee pack is cut and paste every month
Figures from six files, and after the meeting nobody can trace where a number came from.
A committee pack that freezes
Figures with a source per figure, a summary and decisions. Freezing makes the version immutable; a correction is a new version and the old one stays available. Export to Word and Excel.
This is what it looks like
A selection from FRM
Click a thumbnail for that screen, or the image itself for the full-size view.
Frequently asked questions
What you want to know about FRM up front
What is FRM?
FRM is an application for financial risk management at funds, impact investors and other lenders. It records exposure per month, monitors limits, covenants, countries, liquidity, currency and interest rates, maintains a watchlist, provisions and equity valuations, and compiles a monthly pack for the financial risk committee whose figures no longer change once frozen.
Who is FRM for?
For risk managers, treasurers and credit officers of organisations that manage a loan or investment portfolio outside a banking environment: development finance institutions, cooperative funds, impact investors. The modules follow the roles in such an organisation: market and treasury, credit, liquidity and countries, with one cockpit and one pack for the committee.
What does FRM do in practice?
FRM imports the monthly position with a reconciliation check, monitors versioned limits with breach files, tests covenants and manages waivers, calculates the net currency position with an indicative historical VaR on ECB rates, keeps a country register with ceilings and a watchlist with reviews, records provisions and equity valuations under four eyes and freezes the monthly committee pack with export to Word and Excel.
How does FRM differ from a spreadsheet?
A spreadsheet calculates whatever it contains. FRM enforces what a committee needs: a month freezes only when the position reconciles, a limit is versioned from a date, a breach automatically becomes a file, a valuation cannot be approved by its own preparer, and a frozen pack is immutable in the database as well. Every change is in the audit trail.
How does AI work in FRM and who decides?
Only if your administrator enables it, and only on a frozen pack, AI drafts a text per section from a numbered list of facts taken from the recorded figures, without partner names. A number check blocks approval while any figure, code or date does not match a fact. An editor edits, approves or discards; readers and the export see approved text only.
How are data and hosting handled?
Each organisation's data sits in its own database on servers in the EU, with an audit trail on every change and attachment storage per organisation. External data is limited to the public ECB reference rates; ratings, market values and credit statements are entered or imported by you. FRM does not value derivatives and does not calculate provisions.
What FRM offers
One application, a module per type of risk
Market and treasury, credit, liquidity and countries: each module has its own screen and its own source, and the cockpit and the committee pack read them together. FRM monitors and substantiates; valuation and provisioning remain the work of your specialists.
AI built in, not bolted on
On a frozen pack, AI drafts on request a text per section, using only the recorded figures. A number check blocks approval while any figure does not match a fact; an editor edits and approves.
Limits and breaches
Versioned limits, utilisation from the hub or entered monthly, a twelve-month history. A hard breach opens a breach file, classified as active or passive from numerator and denominator.
Covenants and waivers
Financial, social and custom covenants as formulas in a safe expression language. Monthly partner tests, a breach protocol with remediation plan, and waivers granted or refused by a body. An expired waiver reopens the file.
Credit monitoring
Signal rules on the credit statement put a loan or equity stake on the watchlist with reason, owner and review date. Removal only through a review. A missing value is never a silent hit.
Derivatives and interest rates
Derivatives register with counterparty, collateral and reconciliation against the counterparty statement. Interest rate position per maturity bucket with the effect of 100 basis points on income and value.
Provisions and equity under four eyes
Specific, collective and IBNR provisions signed off by the preparer and two reviewers; equity valuations with a second reviewer and a decision by the investment committee. After that the file is fixed.
Scenarios and reverse stress test
Approved, versioned scenarios run against liquidity, NAV, currency and interest rates. An outcome beyond a limit becomes a finding in the pack.
A cockpit that colours honestly
Tiles with a verdict in words and colour, from limits in breach to watchlist and covenant breaches. A tile without a measurement is never green.
Data separated per organisation
A database of its own per organisation on servers in the EU, an audit trail on every change, and links to TRIAS for key risk indicators and to Action Tracking for following up a breach.
How it works
From monthly position to committee pack in six steps
Import the monthly position
CSV, Excel or a connection to Salesforce or your data warehouse; the position reconciles to the control total before the month is frozen.
Define limits and covenants
Warning level, hard limit and denominator per limit; covenants as formulas with monthly partner tests.
Monitor countries, liquidity, currency and rates
Registers and positions per month, with sensitivity, cash flow ladder and indicative VaR.
Track credit, provisions and equity stakes
Watchlist with reviews, provisions file with sign-off, equity valuations with a decision.
Assess breaches and waivers
Every breach is a file with owner, remediation plan and deadline; escalation goes to Action Tracking as an action.
Freeze the committee pack
Figures with sources, summary and decisions, immutable once frozen, to the committee as Word or Excel.
Your next committee pack from one source, with figures that stay put?
Request a demo or get in touch for more information about FRM for your organisation.