New, SOA-Based Application to Help Banks More Effectively Manage Exposure Across the Enterprise
Mumbai, India – April 14, 2009
In order to help financial institutions better manage their exposure, Oracle Financial Services Software today announced the availability of Oracle® FLEXCUBE Enterprise Limits and Collateral Management.
Oracle FLEXCUBE Enterprise Limits and Collateral Management is an enterprise application that enables banks to achieve a holistic view of their exposure by helping them to centralize collateral management, limits definition, and tracking and measurement of exposure across the institution.
Customers using Oracle FLEXCUBE Enterprise Limits and Collateral Management can centralize exposure management across the entire spectrum of offerings including loans, trade finance, treasury and overdrafts.
The application is process-driven and architected to deliver comprehensive capability that helps banks to deploy it centrally. It leverages the Oracle Industry Reference Model for Banking to help standardize business processes and replicate best practices across the enterprise.
Oracle FLEXCUBE Enterprise Limits and Collateral Management enables efficient limits monitoring across the institution with centralized online tracking and monitoring of multi-currency limits for all transactions across all branches or entities - in countries as well as regions.
The solution helps banks make informed credit decisions with fast and accurate credit information - by customer and segment - while also helping to improve exposure management with collateral pooling and contribution controls.
Banks can use the solution to help streamline collateral management processes with a flexible structure that provides for real-time revaluation. This enables them to maintain realistic limits that reflect prevailing market trends.
Using Oracle Business Intelligence Publisher, Oracle FLEXCUBE Enterprise Limits and Collateral Management can also provide financial institutions with easy access to actionable business information with the use of dashboards and other intelligence tools for both regulatory and key stakeholder reporting.
Built on Oracle Fusion Middleware, Oracle FLEXCUBE Enterprise Limits and Collateral Management delivers standards-based integration to coexist with banks’ existing business applications including core banking systems, loan systems, reporting and risk analytics applications.
"Enterprise limits and collateral management is of paramount importance for successful credit risk management at banks, and even more crucial given the ongoing financial market turmoil. Having excellent visibility of their client accounts would minimize defaults and help thaw out the liquidity freeze by increasing banks' confidence in lending,” said Li-May Chew, CFA, Senior Research Manager, Asia/Pacific Risk Management Advisory Service from Financial Insights (an IDC company). “Most vendors offer limits management within their repository of risk offerings, but often times, these functionalities are not principal capabilities but incorporated into broader credit risk offerings. Oracle's offering of this SOA-based application can centralize exposure management across the financial institutions' product offerings and assist them in making better-informed credit decisions. Such a system that is integrated into a comprehensive business process framework would allow for easy deployment in various types of institutions with different process flows and requirements.”
"Banks can no longer afford to silo information in multiple repositories and aggregate that data through some nightly batch process. Day old data is no longer sufficient for an effective risk management practice,” said Adam D. Honoré, Senior Analyst, Aite Group. “Further, banks need to be building a framework that allows some agility in being able to adopt new data sources and incorporate as much relevant information as possible, as quickly as possible, into their client and counterparty management."
“Significant losses and evolving regulatory controls are forcing financial institutions to revisit exposure management processes for their portfolios and adopt best practices that help avoid overexposure to specific business segments,” said NRK Raman, Managing Director and CEO, Oracle Financial Services Software. “Oracle FLEXCUBE Enterprise Limits and Collateral Management is a comprehensive, standards-based solution that enables banks to centralize their processes as well as monitor, control and report their exposure to key stakeholders and regulators. To meet the needs of customers, the application is designed to co-exist with a bank’s current application environment to minimize the resources and costs associated with getting these processes streamlined.”
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About Oracle Financial Services Software Limited
Oracle Financial Services Software Limited (referred to as "Oracle Financial Services Software") (Reuters: ORCL.BO & ORCL.NS) is a majority owned subsidiary of Oracle. Oracle Corporation [NASDAQ: ORCL] is the world's largest business software company. For more information, visit www.oracle.com/financialservices.
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