Oracle Financial Services Liquidity Risk Management

Oracle Financial Services Liquidity Risk Management provides banks with the ability to efficiently and effectively focus on countering liquidity risk to the satisfaction of regulators, customers and shareholders alike. Oracle Financial Services Liquidity Risk Management is fully compliant with Basel III guidelines for liquidity risk management issued by BIS and delivers computations including liquidity coverage ratio, net stable funding ratio and funding concentrations. It enables banks to identify and assess liquidity risk under business-as-usual and stress behavior conditions and manage it by formulating and implementing appropriate counterbalancing strategies.

Additionally, it enables a detailed analysis of the liquidity risk measures through an exhaustive set of pre-built reports and dashboards covering all aspects of liquidity risk management including FSA specified reporting templates (FSA 047 – FSA 055).

Existing Oracle Financial Services Analytical Applications customers can further leverage their existing Oracle investments with this new application engineered to work with their existing risk and performance applications from Oracle Financial Services as well as other third-party solutions.

• Define business as usual and stress assumptions with ease and flexibility
• Comply with Basel III guidelines by calculating the two minimum standards for liquidity through Liquidity Coverage Ratio (LCR) and Net Stable Funding Ratio (NSFR)
• Manage and create scenarios and shocks from a centralized repository to ensure definitional consistency across the enterprise
• Assess the impact of stress scenario on the liquidity gaps individually and cumulatively
• Enable contingency funding planning through a comprehensive set of counterbalancing actions
• Analyze gaps across multiple dimensions and at the desired level of granularity
• Understand positions and situations with an exhaustive set of pre-configured dashboards and reports

• Address liquidity risk management across all domains, jurisdictions and entities
• Meet regulatory requirements like Basel III: International Framework for Liquidity Risk Measurement, Standards and Monitoring and Principles of Sound Liquidity Risk Management and Supervision of BIS and Individual Liquidity Adequacy Standards of FSA
• Achieve clarity on liquidity positions so that executive management can make accurate and well-informed liquidity management decisions
• Develop contingency funding plans that are "tailor-made" to manage their unique liquidity hotspots
• Gain 360° view of your institution's liquidity risk situation

• Practices and Emerging Trends in Asset Liability Management and Liquidity Risk (PDF)
• Liquidity Risk Management in Financial Services: Strategies for Success (PDF)
• Taking Control - Managing the Pain Points in Stress Testing (PDF)
• Lessons from the Credit Crisis: Recommendations on deploying Basel II Enhancements (PDF)
• A Practical and Holistic Approach to Stress Testing in Financial Services: Strategies for Success (PDF)
• Oracle Financial Services Liquidity Risk Management Datasheet (PDF)
• The New World of Liquidity Risk Management: Managing the Challenges of Stress Testing (WEBINAR)