AmBank turns to Murex to implement an advanced market risk governance and compliance framework
Murex, the leading provider of integrated trading, risk management and processing solutions, has announced today that AmBank (M) Berhad (“AmBank”), part of the AmBank Group, one of the largest financial groups in Malaysia, has gone live with the latest version of Murex’s MX.3™ Market Risk Solution. (AmBank originally selected Murex in 2009 as its Front to Back solution for Forex, Foreign Exchange Derivatives, Interest Rate Derivatives and Equities as part of a strategic decision of the bank to offer more sophisticated products and processes to its clients.)
This new market risk implementation enables the bank to enhance oversight of its risk management activities across all fixed income businesses and strengthens the bank’s ability to meet increased domestic regulatory and reporting requirements.
“A thorough due diligence and proof of concept preceded our decision to shift away from our former system to Murex whose capabilities we were already familiar with. Besides the benefits of leveraging current installations, we wanted to make sure this new risk installation will provide a significant leap ahead by delivering the most advanced market risk features,” said Nigel Denby, Chief Risk Officer, AmBank Group.
Within eight months, AmBank and Murex teams were able to successfully replace and deliver a new market risk framework covering Historical Value at Risk (HVaR) calculations, stress testing, back testing, market limits monitoring, compliance checks, risk aggregation and regulatory reporting to Bank Negara Malaysia, the local monetary authority. The implementation also features the MX.3™ Market Risk Aggregator (MRA), which facilitates HVaR aggregation at enterprise level and provides a dashboard enabling dynamic analysis of risk drivers.
“This implementation adds another successful milestone in our collaboration with Murex. Tackling such an ambitious project in a short timeframe requires the best technology and quality people, driven by excellence, orientated towards knowledge sharing and having strong team spirit. We were able to work as a unified team and deliver the first phase of this project on time,” added Sally Heyes, Group Risk Project Director, AmBank Group.
Guy Otayek, CEO at Murex Asia Pacific, said, “We are proud to have seen our partnership with AmBank consolidated through such a stimulating project. It endorses our business model as we strive to keep a keen focus on our clients’ needs and a consistent development strategy, to make sure we can, at all times, build and deliver their platform for growth.”