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Layer Two — The Global Risk Exchange

The Global Risk Exchange

A continuous, institutional venue that enables the underwriting, listing, trading, clearing and settling of, and investing in, securitised risk like distressed debt, credit risk, sovereign debt and risks including but not limited to geopolitical risk, trade risk and technology risk through innovative solutions that challenge the existing perception of these risks and alternatives.

The Opportunity

Credit’s missing market

$3–4T

in distressed credit created globally every year — nearly 3% of world GDP.

Global finance has spent decades building infrastructure that prices the Probability of Default; the universe of credit uses PD as a peg measure for financial health. Loss Given Default — what happens after default, viz. quantum of recovery, cost of recovery, timelines — remains largely unattended.

Credit has largely outsourced innovation to rating agencies and firms that have restricted their efforts to PD. This is reflected in the credit industry’s increasing inability to navigate non-traditional risks that are now mainstream.

Distressed debt is an information and process problem that credit is currently incapable of addressing considering its approach. The Global Risk Exchange and distressed-debt-focused innovations that feed it instantly convert distressed debt into a lucrative alternative asset class. The new safety net for credit.

The Participants

A fully regulated ecosystem

Exchange

Listing, trading and market oversight.

Clearing Corporation

CCP guarantees trades.

Depository

International record of holdings.

Custodian

Safekeeping and settlement of assets.

Merchant Bankers

Structuring instruments and securities.

Broker-Dealers

Institutional access and compliance.

Market Makers

Initial and ongoing liquidity.

QIBs & FIIs

Global and domestic institutional capital.

INSTITUTIONAL ONLY — NO RETAIL PARTICIPATION ON THE VENUE.

Register Interest

Join the movement

The Global Risk Exchange is an opportunity to participate in the evolution of finance. If your institution wants early visibility, we’d like to hear from you.

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