Tuesday January 19, 1:25 pm Eastern
Company Press Release
SOURCE: SciComp Inc.
Merrill Lynch Chooses SciComp's Derivative Pricing Software
AUSTIN, Texas, Jan. 19 /PRNewswire/ -- SciComp Inc., a
software company focused on providing synthesis tools for the
financial services industry, today announced that Merrill Lynch,
one of the world's leading financial management and advisory
companies, has licensed SciFinance 1.0, an options- pricing
software package for quantitative analysts.
Merrill Lynch licensed SciFinance in December of 1998 after a
significant testing period. Financial terms of the deal were not
disclosed. Beginning in January of 1999, Merrill Lynch's Global
Equity-Linked Products Department will deploy SciFinance globally
in a three-year contract, with options to renew for up to 12
Based on SciComp's software synthesis technology, SciFinance
automatically generates custom computer programs from concise
specifications of options structures -- pricing without
programming. This technology produces robust finite difference
codes, which often run faster and are more accurate than
Elaine Kant, SciComp's founder and president, said,
``SciFinance will bring value to Merrill Lynch because it reduces
the time needed to price complex derivative structures. Merrill
Lynch's leading role in the worldwide derivatives market and
position as a SciFinance power user will offer invaluable
feedback for SciComp as well.''
Merrill Lynch will use SciFinance's generated code to value
and hedge equity derivative instruments. SciFinance will enable
Merrill Lynch to decrease the turnaround time for derivative
model prototyping and will enable analysts to realistically
tackle more sophisticated problems, said Jim Gatheral, head of
quantitative analytics for Merrill Lynch's Global Equity- Linked
Products department. ``I feel confident that SciFinance will
significantly improve our modeling productivity,'' Gatheral said.
``We have been very happy with the service we have received from
SciComp during the bench-marking process.''
Merrill Lynch is one of the world's leading financial
management and advisory companies with offices in more than 40
countries and total client assets exceeding $1 trillion. As an
investment bank, it is the top global underwriter and market
maker of debt and equity securities and a leading strategic
advisor to corporations, governments, institutions, and
individuals worldwide. Through Merrill Lynch Asset Management and
Mercury Asset Management the company is one of the world's
largest managers of financial assets. For more information, visit
the web site at www.merrilllynch.com.
Founded in Austin, Texas in 1994, SciComp is the leader in
technology that empowers its customers to produce complex,
mathematical software, eliminating the need for manual computer
programming. SciComp's software synthesis techniques can be
applied in a wide range of industries, including finance,
electronics, oil and gas, pharmaceuticals, automotive and
aerospace. SciComp's development team has more than 90 years of
combined experience in mathematical modeling, computer science,
applied mathematics, physics and engineering. For more
information, call David Johansen at 512-451-1050 or visit the web
site at www.scicomp.com.
SOURCE: SciComp Inc.