MEAG and BondIT, a next-generation bond technology provider, are collaborating to further digitize MEAG’s credit risk workflows.
The asset manager will use BondIT’s Scorable Credit Analytics to improve their credit research process. Scorable leverages machine learning and explainable AI (XAI) to predict changes in the credit risk profiles and rating transition probabilities of nearly 3,000 corporate issuers worldwide.
“Working with BondIT is another important step in driving technological progress within our organization. We aim to continuously improve the quality and efficiency of our investment process, and technology plays a crucial role in this,” says Prashant Sharma, CIO Public Markets at MEAG.
Heiderose Briem, Head of Business Management: “We chose Scorable because of its innovative technology, its transparent and unbiased approach to AI and the ease of implementation to obtain an opinion complementary to the internal model.”
MEAG’s global credit research teams in Munich and New York will use Scorable to improve their decisions by analyzing their credit exposures in today’s volatile market environments. Recognizing and understanding market dynamics early on is an important value driver.
“Better data leads to better performance, but translating the ever-increasing amount of raw data into actionable insights can strain resources. This is where our explainable AI can deliver real value in supporting analysts and asset managers in their investment decision-making,” says Dr. David Curtis, Head of Global Client Operations for BondIT and Scorable. “We look forward to working with MEAG and helping them optimize their credit risk management.”
Scorable Credit Analytics is part of BondIT’s bond technology solutions portfolio. As a strongly customer-driven organization, BondIT works closely with its partners to help them mine and analyze their data.
Scorable analyzes over 250 data variables daily and translates raw data from a wide range of sources, including financial statements, fundamentals and capital market data, into actionable insights for investors, helping them identify investment opportunities and risks ahead of the market. Unlike obscure black box solutions, Scorable’s XAI approach supports transparency and allows users to understand the factors behind risk assessments. Scorable’s advanced technology and templates are continually improved and updated to reflect the latest market developments.