Cash flow modeling tool provider Cardo AI has launched a new solution for asset-based finance and specialty finance markets. This solution is offered through the cash flow modeling tool that presents a contemporary answer to the structured finance engine. Furthermore, it helps overcome limitations found in previous solutions.
As private credit markets expand, analysts face challenges with outdated tools. This is because the latter may not be equipped to deal with obscure forms of assets & the changing requirements of investors. Hence, Cardo AI has developed this tool.
“For years, analysts modeling esoteric deals had to either force them into templates that don’t fit or rebuild everything from scratch in a spreadsheet,” said Altin Kadareja, Co-Founder and CEO of Cardo AI. “The tools simply weren’t built to model a deal across its full lifecycle, through ramp-up and reinvestment, against live market data. That’s the problem we solved.”
Real-Time Data and Full Lifecycle Modeling Capabilities
Moreover, the system includes live rate curves that use Bloomberg data. Through this capability, the platform provides real-time insights into market conditions while running cash flow simulations. This ensures that analysts have access to up-to-date information for making sound decisions. In addition, it offers full life cycle modeling, including modeling of ramp-up and reinvestment stages. It also facilitates the simulation of waterfalls, tranching, and covenants. With these capabilities, organizations will be able to assess their deals’ performance under various situations.
“Insurance investors must run independent scenario analyses to meet regulatory requirements, but today they only have access to static cash flows, which limits their ability to meet those requirements,” said Marco Masotto, Head of Product of Cardo AI. “Bringing live curves and full-lifecycle modeling into a single engine gives them the dynamic cash flows those analyses depend on.”
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News Source: Businesswire.com
