Press Releases

Newark, Calif. – March 3, 2003 – Risk Management Solutions (RMS), the world’s leading provider of products and services for the management of natural hazard risks, today announced the release of version 3.3 of its Climetrix® weather derivatives trading and risk management system with several enhancements to pricing and portfolio management functionality.

The principal feature of the new version of Climetrix is portfolio-based pricing, which allows weather derivative traders to run pricing analytics that dynamically quantify the impact of a potential new trade on their existing portfolio. This new capability enables more informed pricing decisions that account for the degree to which new transactions will concentrate or diversify existing portfolio positions. Portfolio-based pricing also ensures that traders will understand exactly how new trades would impact portfolio valuation and risk measures so they can optimize trading decisions within their risk limits.

New portfolio management functionality in Climetrix 3.3 includes an expanded range of portfolio risk measures and breakdowns of portfolio exposure during a season. This new information helps portfolio managers and risk managers to better understand and manage portfolio risk. Automated daily updating of RMS market data has also been added to Climetrix to facilitate the daily mark-to-market process.

Risk Management Solutions is the world’s leading provider of products and services for catastrophe, weather, and enterprise risk management. More than 400 leading insurers, reinsurers, trading companies, and other financial institutions rely on RMS models to quantify, manage, and transfer risk. Founded at Stanford University in 1988, RMS serves clients today from offices in the U.S., Europe, and Japan. For more information, visit our website at www.rms.com.

Climetrix, RMS, and the RMS logo are trademarks of Risk Management Solutions, Inc. All other trademarks are property of their respective owners.owners.