Simulations for GDP, unemployment, inflation, and real wages. Leading Commercial Software Platforms
Used for pricing complex options, hedging, and valuing insurance liabilities where market prices must be matched. Economic Scenario Generator Software
Modern ESG software typically provides two primary simulation types: Simulations for GDP, unemployment, inflation, and real wages
Libor Market Model (LMM), Affine models, and stochastic volatility models. Used for risk management, strategic asset allocation (SAA),
Used for risk management, strategic asset allocation (SAA), and capital modeling.
Economic Scenario Generator (ESG) software uses to model thousands of potential future paths for global economies and financial markets . These tools are essential for financial institutions to perform risk management, asset liability modeling (ALM), and regulatory reporting under frameworks like Solvency II , IFRS 17 , and GAAP . Core Functionality & Models
Recent industry awards and research identify several dominant commercial platforms: