Questions: 1. How can Big Data benefit large scale trading banks? 2. How did the MarkLogic...

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Questions: 1. How can Big Data benefit large scale trading banks? 2. How did the MarkLogic infrastructure help ease the leveraging of Big Data? Application Case 7.2 Top Five Investment Bank Achieves Single Source of the Truth The bank's highly respected derivatives team is responsible for over one-third of the world's total derivatives trades. Their derivatives practice has a global footprint with teams that support credit, inter- est rates, and equity derivatives in every region of the world. The bank has earned numerous industry awards and is recognized for its product innovations. Challenge With its significant derivatives exposure, the bank's management recognized the importance of having a real-time global view of its positions. The existing system, based on a relational database, was com- prised of multiple installations around the world. Due to the gradual expansions to accommodate the increasing data volume varieties, the legacy system was not fast enough to respond to growing business needs and requirements. It was unable to deliver real-time alerts to manage market and counterparty credit positions in the desired time frame. Solution The bank built a derivatives trade store based on the MarkLogic (a Big Data analytics solution pro- vider) Server, replacing the incumbent technologies. < Before Before it was difficult to identify financial exposure across many systems (separate copies of derivatives trade store) After it was possible to analyze all contracts in single database (MarkLogic Server eliminates the need for 20 database copies) Replacing the 20 disparate batch-processing servers with a single operational trade store enabled the bank to know its market and credit counterparty positions in real time, providing the ability to act quickly to mitigate risk. The accuracy and complete- ness of the data allowed the bank and its regula- tors to confidently rely on the metrics and stress test results it reports. The selection process included upgrading existing Oracle and Sybase technology. Meeting all the new regulatory requirements was also a major factor in the decision as the bank looked to maxi- mize its investment. After the bank's careful investi- gation, the choice was clear-only MarkLogic could meet both needs plus provide better performance, scalability, faster development for future require- ments and implementation, and a much lower total cost of ownership. Figure 7.5 illustrates the transfor- mation from the old fragmented systems to the new unified system. Results MarkLogic was selected because existing systems would not provide the subsecond updating and anal- ysis response times needed to effectively manage a After MarkLogic Server /11 *** FIGURE 7.5 Moving from Many Old Systems to a Unified New System. Source: MarkLogic Questions: 1. How can Big Data benefit large scale trading banks? 2. How did the MarkLogic infrastructure help ease the leveraging of Big Data? Application Case 7.2 Top Five Investment Bank Achieves Single Source of the Truth The bank's highly respected derivatives team is responsible for over one-third of the world's total derivatives trades. Their derivatives practice has a global footprint with teams that support credit, inter- est rates, and equity derivatives in every region of the world. The bank has earned numerous industry awards and is recognized for its product innovations. Challenge With its significant derivatives exposure, the bank's management recognized the importance of having a real-time global view of its positions. The existing system, based on a relational database, was com- prised of multiple installations around the world. Due to the gradual expansions to accommodate the increasing data volume varieties, the legacy system was not fast enough to respond to growing business needs and requirements. It was unable to deliver real-time alerts to manage market and counterparty credit positions in the desired time frame. Solution The bank built a derivatives trade store based on the MarkLogic (a Big Data analytics solution pro- vider) Server, replacing the incumbent technologies. < Before Before it was difficult to identify financial exposure across many systems (separate copies of derivatives trade store) After it was possible to analyze all contracts in single database (MarkLogic Server eliminates the need for 20 database copies) Replacing the 20 disparate batch-processing servers with a single operational trade store enabled the bank to know its market and credit counterparty positions in real time, providing the ability to act quickly to mitigate risk. The accuracy and complete- ness of the data allowed the bank and its regula- tors to confidently rely on the metrics and stress test results it reports. The selection process included upgrading existing Oracle and Sybase technology. Meeting all the new regulatory requirements was also a major factor in the decision as the bank looked to maxi- mize its investment. After the bank's careful investi- gation, the choice was clear-only MarkLogic could meet both needs plus provide better performance, scalability, faster development for future require- ments and implementation, and a much lower total cost of ownership. Figure 7.5 illustrates the transfor- mation from the old fragmented systems to the new unified system. Results MarkLogic was selected because existing systems would not provide the subsecond updating and anal- ysis response times needed to effectively manage a After MarkLogic Server /11 *** FIGURE 7.5 Moving from Many Old Systems to a Unified New System. Source: MarkLogic

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Explanation 1 Big Data has provided benefits to large scale trading banks in various ways as listed ... View the full answer