Analytica IQ
Analytica IQ may act as a registered market maker or liquidity provider in certain regulated markets. All trading activities comply with
applicable laws and exchange rules.
New York
199 Water Street
New York, NY 10038
Risk & Compliance
Integrity by Design: Managing Risk with Precision and Transparency
At Analytica IQ, risk management isn’t an afterthought — it’s built into the core of our technology, trading philosophy, and operational
governance.
We combine quantitative discipline, systemic safeguards, and continuous oversight to ensure our liquidity provision remains responsible, compliant, and aligned with global market standards.
Our commitment to integrity extends from the code we write to the
trades we execute. Every decision — human or algorithmic — operates within a defined framework of accountability.
Risk Management Framework
Our risk model is grounded in the same principles that guide our analytics — precision, adaptability, and control.
We maintain strict parameters for capital allocation, exposure limits, and real-time monitoring.
Market & Liquidity Risk Controls
- Automated exposure caps per market, strategy, and asset class.
- Continuous delta, gamma, and volatility exposure tracking.
- Dynamic position rebalancing and hedging across correlated instruments.
- Automatic trade throttling in the event of volatility spikes or data anomalies.
Model Governance
- All models undergo a three-phase process: development, validation, and deployment approval.
- Independent testing teams stress-test models across historic and synthetic scenarios.
- Post-deployment, every model is continuously benchmarked against live performance metrics.
- Version-controlled audit logs track every code change, parameter adjustment, and decision rule.
Operational & Counterparty Risk
- Dual-approval workflows for capital movements and liquidity provision commitments.
- Counterparty KYC/AML verification prior to onboarding.
- Continuous vendor and exchange monitoring for systemic risk signals.
- Redundant execution and communication systems to mitigate downtime risk.
Capital &
Financial Controls
Analytica IQ maintains a disciplined capital structure to ensure full
liquidity coverage across trading operations. Our systems allocate risk capital dynamically based on model confidence, volatility, and market depth.
Key Practices:
Real-time capital utilization dashboards.
Tiered liquidity buffers for extreme events.
Stress testing and reverse-stress simulations.
Independent reconciliation and reporting protocols.
We treat capital as an instrument of stability — not speculation.
Regulatory Alignment
Compliance Governance
Our Compliance and Oversight function operates independently from trading and research divisions, ensuring unbiased enforcement of regulatory and internal policies.
Adherence to Standards
- Analytica IQ aligns with recognized frameworks, including: CFTC / SEC standards for registered market participants.
- Exchange-level rulebooks for fair market participation.
- AML / KYC obligations for counterparties and clients.
- GDPR & U.S. data privacy requirements for information governance.
Reporting & Transparency
- Real-time monitoring tools feed directly into compliance dashboards.
- Automated flagging for position breaches or unusual execution patterns.
- Daily and monthly reporting capabilities for exchanges and regulators.
- Comprehensive audit trails accessible for independent review.
Ethical AI & Responsible Automation
As a firm built on machine intelligence, we prioritize explainable and ethical AI practices:
- Every model must meet explainability criteria before deployment.
- Automated decisions are traceable, reviewable, and reversible.
- Human oversight remains mandatory in all risk and compliance sensitive workflows.
- Continuous bias and fairness audits ensure neutrality in model outputs.
We believe true intelligence is both measurable and accountable.
Governance & Oversight Structure
- Chief Risk Officer (CRO) oversees the firm’s integrated risk framework.
- Chief Compliance Officer (CCO) ensures adherence to all regulatory and internal standards.
- Internal Risk Committee meets weekly to review exposures, capital adequacy, and model performance.
- External Audit Partnerships provide annual validation of financial and operational integrity.
This structure ensures a direct chain of responsibility from board-level leadership to the execution layer — creating a transparent and enforceable control environment.
Integrity is our foundation.
Our systems are designed to anticipate risk, adapt to uncertainty, and uphold the principles that make markets efficient and trustworthy.