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Innovation is not optional.

You cannot offer banks and insurers solutions that fit their problems without people whose only job is to watch what's coming. Research is not a department here — it's the condition of staying useful.

01

The ethos

The goal is never novelty for its own sake. It is to hand a client a solution that is at once innovative and robust — new enough to matter, solid enough to trust with real money.

We keep a standing technical and technological watch, in-house, so that a shift in methods or infrastructure reaches our products before it reaches our clients' problems.

That habit is why R2O has stayed at the leading edge for over fifteen years — and why the next version is always already in the lab.

Finance Factory · R&D
02

Where we're looking

The themes shaping the next generation of risk tooling.

Method

Machine learning for risk

Where statistical learning genuinely improves rating and detection — used with the caution a risk desk demands.

Infrastructure

Blockchain settlement

Distributed ledgers and tokenization, and what they really change in post-trade settlement.

Security

Post-quantum cryptography

Preparing settlement infrastructure for the day quantum computing breaks today's assumptions.

Frontier

Climate & systemic risk

Bringing long-horizon, correlated shocks — climate above all — into the same framework as market and credit risk.

03

Risk library

A free set of primers on the fundamentals — our "Vulgarisation" notes, distilled from years of teaching risk to practitioners.

GuideIntroduction to risk management
The lay of the land — what a modern risk function measures, and why.
Download (PDF)
ALMAsset-liability management
Balancing what an institution owns against what it owes, over time.
Download (PDF)
PricingRAROC
Risk-adjusted return on capital — pricing that accounts for the risk actually taken.
Download (PDF)
Basel IIThe workstreams
The programme of work the accord set in motion across a bank.
Download (PDF)
Basel IIThe parameters
PD, LGD, EAD — the inputs that drive regulatory capital.
Download (PDF)
Basel IIThe IRB model
The internal-ratings-based approach, explained from first principles.
Download (PDF)
Market riskValue at Risk
What VaR measures, what it misses, and how to read it honestly.
Download (PDF)
CreditCredit derivatives
CDS and structured credit — the machinery for transferring default risk.
Download (PDF)
QuantLévy processes
Jumps and heavy tails — pricing beyond the Gaussian world.
Download (PDF)
ReferenceRisk glossary
The vocabulary of risk management, gathered in one place.
Download (PDF)
R2OPilotage — overview
How the R2O steering module gives a consolidated view of risk and return.
Download (PDF)

Working on the same questions?

We collaborate with institutions and researchers on the problems above. If one is yours, let's talk.