Oracle Financial Services Pricing Management,
Capital Charge Component

Oracle Financial Services Pricing Management, Capital Charge Component enables banks to assess the costs and risks associated with each new exposure and thereby charge an appropriate price to optimize returns.

The application is built on the common Oracle Financial Services Analytical Applications platform and allows institutions to leverage existing regulatory and economic capital approaches already in use like Oracle Financial Services Basel II and Oracle Financial Services Economic Capital Advanced or applications developed in-house or with third-parties.

Unified Application for Risk and Profitability Calculations
Oracle Financial Services Pricing Management is a unified application covering both the risk based pricing and transfer pricing calculations. The application currently includes two components: Oracle Financial Services Pricing Management, Capital Charge Component and Oracle Financial Services Pricing Management, Transfer Pricing Component. Banks have the flexibility to implement either or both components as per their requirements.

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BENEFITS

  • Holistic application to address both profitability and risk calculations
  • Enables active management of credit portfolio based on risk adjusted return
  • Ensures optimal utilization of capital
  • Provides on-demand information for accurate and timely decision making
  • Improves turn-around times for addressing customer inquiries
  • Empowers frontline managers to assess their deal profitability and make an informed and timely decision

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Oracle Financial Services Pricing Management, Capital Charge Component