Paragon Energy Software
Protecting Energy Sector Investments

When Kevin Gerold and Jason Wells laid the cornerstone for Paragon Energy Software in 2004, they had a concordant vision. They wanted to address the need for a robust credit risk platform, as there were limited options in the market at the time. The solution, “Paragon CRMS” was unveiled in 2006 by the two risk management professionals Gerold and Wells; since then, the company has grown its customer base manifold, cultivating a patronage toward its credit risk platform. Paragon helps its clients to manage the evolving energy trade arena and the regulatory standards that surround it. “Paragon’s true advantage lies in our ability to provide quick implementations of fully functioning cloud installations and address the changing energy marketplace,” explains Gerold, CEO of Paragon Energy Software.

To facilitate the management and automation of the entire scope of credit risk management, Paragon provides a comprehensive credit risk solution that ensures a customer’s adherence to mandatory credit policies. The highly flexible CRMS application assists clients from credit evaluation to approval process and everything in between, that includes onboarding and maintenance of counterparties, management of collaterals posted, preservation of existing contractual relationships, and aggregation of exposure and collaterals for optimal risk management.

Additionally, with the help of Paragon’s advanced analytics feature, users can reevaluate transactions in a potential future exposure analysis. Users can also perform spot analysis on the data that provides them the ability to summarize and filter the credit data for reports and evaluation in a flexible way. In addition, Paragon’s credit scoring module that can be integrated with third-party sources enables clients to seamlessly collate relevant information for the evaluation of the counter party’s financial strength. For instance, a newly spun-off large crude refiner entity who wanted to disengage itself from the joint venture wanted to expedite the process of establishing separate systems and processes. With its quick implementation of the CRMS platform, Paragon eased the transition for the company in the course of aggregating the disparate risk data sources.

Paragon understands that the key to mitigating credit risks demands a proper aggregation of exposures in conjunction with contractual terms. To that end, Paragon CRMS’ role as a central repository for credit terms and exposure and accounting information, gives clients the much-needed edge over competitors; it enables users to monitor the exposure at any given time efficiently and determine mitigation options to reduce credit loss. What’s more, Paragon provides clients the means to proactively forecast liquidity fluctuations, based on shifts in market prices or external rating changes by infusing advanced analytics.

Easily configurable, the Paragon CRMS software is available for traditional onsite installation on a client’s hardware or as a SaaS solution in a standard cloud environment. Ensuring highest possible security for its customers at affordable costs, Paragon uses MS Secure authentication over a public or private cloud solution.

Paragon’s true advantage lies in our ability to provide quick implementations of fully functioning cloud installations and address the changing energy marketplace

Paragon has established itself as a leader in the marketplace with a solid base of clientele from large-scale integrated energy companies to hedge funds, pipeline companies, and smaller regional energy companies. Recently, a Fortune 100 energy company leveraged Paragon’s CRMS platform to manage exposure data and mitigate credit loss accurately. The aggregation of all exposures allowed efficient management of all credit risks, as well as address liquidity needs with an overall view of exposures across the organization.

Paragon looks forward to continuing their influence over the North American pipeline sector as well as other expanding markets. “In the near future, we will be focusing on expansion into European markets as well,” concludes Gerold.