Researchers working to prevent financial crises

Computers and statistics will help evaluate loan and investment risk

Danish researchers have embarked on an ambitious attempt to avoid future financial crises by using computers and statistics to evaluate and manage loan and investment risk.

Researchers from the University of Copenhagen's departments of mathematics and computer science and the Niels Bohr Institute teamed up in 2010 to form the HIPERFIT (Functional High Performance Computing for Financial Information Technology) project, which is now at its half-way point.

“We have already developed some coding that is much, much quicker – all the way up to 500 times quicker – using standard graphics cards found in common computers used for gaming,” Fritz Henglein, the lead researcher for HIPERFIT, told science website, Videskab.dk.

READ MORE: New government IT disaster raises old questions

Open for the public
The research group is working in close co-operation with a number of banks, including Danske Bank, Nordea and Nykredit, in order to create higher calculation speeds for the project and help develop a new programming language that will improve risk calculation for the banks in future.

But their research is open to the public and Henglein hopes that it won’t just be the banks that reap the benefits from the results.

“It’s terrible how people have bought into structured high-risk products because the product designers know much more about it than the bank advisors and investors,” Henglein said.

“There is an inequality in who has access to the information – something that we hope to help change.”

In 2010, HIPERFIT was funded by the Danish Council for Strategic Research with 31.4 million kroner for six years of research.




  • The Lynch Interviews: Fergal O’Byrne

    The Lynch Interviews: Fergal O’Byrne

    English-Australian writer and theatre director Stuart Lynch contributes a monthly column titled “The Lynch Interviews”. In this series, he engages with prominent internationals residing in Denmark or Danish individuals with a global perspective. For April, he interviews Irish playwright and writer Fergal O’Byrne, fresh from an acclaimed season of a new English-language play in Copenhagen.

  • Why your talented internationals aren’t moving up the ladder – and what to do about it

    Why your talented internationals aren’t moving up the ladder – and what to do about it

    Many internationals find it difficult to advance in their new workplaces, and some quietly leave. It’s not because they lack talent. In Denmark, careers are shaped not only by skills but also by cultural understanding, informal networks, and social signals. However, internationals may not be familiar with this system or know how to navigate it

  • The international behind Donkey Republic: how a Turkish systems thinker reimagined urban mobility in Denmark

    The international behind Donkey Republic: how a Turkish systems thinker reimagined urban mobility in Denmark

    Erdem Ovacık, co-founder of Donkey Republic, built one of Europe’s leading bike-sharing companies from Denmark — but success as an international entrepreneur hasn’t come easy

  • Denmark hits 66.2 million overnight stays: what’s fueling the rise?

    Denmark hits 66.2 million overnight stays: what’s fueling the rise?

    In 2024, Denmark saw 1.5 million more overnight stays than in 2023, bringing the total to 66.2 million staying in hotels, holiday centers, campsites, and youth hostels. It’s clear: after COVID-19, traveling is now back on the table. But the question is: why are people choosing Denmark?

  • World Cup in Ice Hockey will face off in Herning

    World Cup in Ice Hockey will face off in Herning

    As in 2018, Denmark will co-host the Ice Hockey World Championship. And once again, Herning and Jyske Bank Boxen will be the hosts. Denmark is in Pool B and starts tonight with a match against the USA, which, given the political tensions between the two countries, may be an icy affair.

  • Diplomatic tensions between US and Denmark after spying rumors

    Diplomatic tensions between US and Denmark after spying rumors

    A Wall Street Journal article describes that the US will now begin spying in Greenland. This worries the Danish foreign minister, who wants an explanation from the US’s leading diplomat. Greenlandic politicians think that Trump’s actions increase the sense of insecurity

Connect Club is your gateway to a vibrant programme of events and an international community in Denmark.