Amid this “scary” and agitated tempest, Liu, with his technology expertise, constructs an amendable architecture to deal with the unsettling regulatory concerns. Allegro Development, a global leader in commodity trading and risk management (CTRM) solutions, promises rapid adaptation and domain expertise to ensure compliance and ease the complexity of energy organizations, markets, transactions, contracts, and accounting rules. “Our CTRM solutions allow us to manage transactions from deal to cash, focusing on customers who are in the production, delivery, and everything between,” says Mike Hinton, Chief Customer Officer and SVP, Products and Solutions, Allegro Development.
A compliance “deficiency,” with the regulatory ambiguities, of legislation such as Sarbanes-Oxley, Hedge Accounting, Dodd-Frank, EMIT, REMIR, FERC Reporting and others, can expose businesses to expensive fines and penalties. Having a platform that understands multi-commodities and new compliance advances around physical and financial transactions, Allegro gives a proper visibility to enterprises to build a suitable control, eradicating risks and improper governance. “Along with this single platform, we eliminate the need for real-time reporting and submission of information, with the changing granularity of the business,” states Hinton.
With the market evolution, a commodity businesses trade is shifted from measuring in years and months to days, hours, and even sub-hours.
Our CTRM solutions allow us to manage transaction from deal to cash, focusing on customers and delivery
Allegro’s solutions quickly respond to changes in the derivative regulation and enable customers to rapidly deploy them around all the areas of compliance. “With the constant morphing in Dodd-Frank legislation, we built and implemented a product, that enabled submission of the various derivative transactions related to Dodd-Frank requirement,” reports Hinton. Allegro met with various customers operating in North America, who felt this product is extremely helpful for their submission requirements to particular repositories. “We had a large host of customers, who took that product in a very small window of time, to implement it, and be compliant. As a result, none of them received any penalty,” states Hinton.
Besides the CTRM software which provides global intelligence by optimizing and managing assets and enormous portfolios, Allegro has advance technologies to automate the compliance processes, audit and monitor, and build a natural workflow.
Taking Allegro to the next level of growth is its recent acquisition by Vector Capital, a global private equity firm and Cerium Technology, an investment firm for energy, trading, and technology. The company has been showing substantial revenue growth, since the contribution by the investment firms. Vector and Cerium are also looking at strengthening and expanding Allegro’s market leading product and service capabilities. Having analyzed the market and broadened the functionality, from a product standpoint, Allegro, now, pursuits to calm the “perfect storm” to hasten its productivity.