RiskAdvisory and Softsmith form energy jv

US-based business solutions providers RiskAdvisory Software and SoftSmiths are joining forces to supply the energy industry with a complete electronic transaction system. The integration of RiskAdvisory's Energy Book Runner and SoftSmiths' e-Merchant is planned to provide a straight-through processing facility enabling users to carry out trading, scheduling, risk management, settlement and operations reporting on one platform.

RiskAdvisory's BookRunner is a risk management tool that has multi-currency capabilities and runs across a range of commodities, including gas, power and crude. The product, devised by practicing risk management professionals, includes a simulation-based, earnings-at-risk model. SoftSmith's e-Merchant system is an electricity trading and scheduling system that allows users to trade across a range of energy sector commodities.

The companies expect to roll out the product in the next six weeks, initially marketing it to their existing clients.

Brian Nicholson of RiskAdvisory said that although there is still a lot of testing to be carried out on the technical compatibility of both systems, the firms do not expect there to be any significant problems with integration.

"Today's announcement represents RiskAdvisory and SoftSmiths' commitment to provide our joint customers a one-stop source for the technology and expertise they need," said Hugo Stappers of SoftSmiths.