Introduction

Hi there, welcome to the Open-Source Economic Model's main repository. A modelling solution that allows financial companies to simulate their future financial performance. We hope it can be an alternative to classical asset-liability models often found in insurance companies, pension funds, and banks.

We would like OSEM to be useful in the following areas:

• Scenario analysis
• Calculation of capital reserves
• What-if exercises

OSEM takes into consideration both sides of the balance sheet. It also allows the user to define any future investments and liabilities. The basic unit of OSEM is a cash-flow in time. Through a simplified representation of the economy, it simulates decision-making such as trading and balance sheet rebalancing driven by both internal demands and external shocks.

OSEM consists of different modules such as:

• Data preparation
• Investment universe definition
• Asset preparation and calibration
• Liability preparation and calibration
• Asset Liability preparation
• Asset Liability run
• Reporting

Note that in the prototype stage not all modules are implemented. Reach out to one of the contributors to find out what parts can be used with a higher degree of confidence and which parts are still very much in development.