Qontigo, a provider of risk, analytics, and index solutions, has enhanced its Axioma Credit Spread Factor Risk Model (Credit Factor Model) with the addition of credit default swaps (CDS) and increased factor coverage.

The model results in better risk forecasting for asset managers, asset owners and hedge funds with portfolio exposure in the high yield and investment grade space.

The Axioma Credit Spread Factor Risk Model can be accessed within Qontigo’s award-winning cloud-native enterprise portfolio risk management system, Axioma Risk, and has also been designed to work with portfolio optimisation tools. For example, by uploading risk model and exposure files into the Axioma Portfolio Optimizer, users can achieve advanced portfolio construction goals such as minimising benchmark tracking error while realising desired exposure tilts.