Nedbank Capital Selects Aleri Liquidity Management System to Improve Liquidity Risk Management

10 November 2008

Aleri Inc., a leading provider of enterprise-class complex event processing (CEP) technology, today announced that Nedbank Capital has selected the Aleri Liquidity Management System (LMS) to strengthen and enhance management of the bank’s liquidity risk across the enterprise. Nedbank Capital, the investment banking business of the Nedbank Group, one of the four largest banking groups in South Africa, will be able to identify, measure, monitor and control liquidity risk in real-time with Aleri’s LMS platform which is powered by Aleri’s complex event processing (CEP) technology. This is the first joint contract win that has resulted from the recent partnership between Wall Street Systems and Aleri.

“In light of the recent financial crisis we believe implementing a solid liquidity management system like Aleri’s will help us better control future liquidity risk,” said Dan Zulu, Head of IT & Projects at Nedbank Capital. “We value the partnership between Aleri and Wall Street Systems, whose Wallstreet FX solution supports our forex and money market operations. In addition, we were impressed by Aleri’s sophisticated liquidity management offering and believe this will help us move beyond the current financial crisis and evoke better risk management in the future.”

Aleri LMS, the first ever enterprise-class commercial application deployed leveraging complex event processing technology (CEP), is a unique platform that provides real-time views of both cash and liquid assets across the enterprise for current and future dates. The technology supports contingent liquidity risk processes with an up-to-date enterprise view of both cash positions and available liquid assets. Without a solution like LMS, banks often manage short term forecasting processes from partial, sometimes balance sheet based, information which has major limitations.

“We are delighted to have Nedbank Capital as our first customer resulting from our partnership with Wall Street Systems, set in June this year, proving the effectiveness of the distribution model” said Hervé Lefèvre, sales director at Aleri. “For Nedbank Capital, as with other LMS clients, having an integrated platform satisfying the requirements of the liquidity desk as well as liquidity risk management team, in addition to cash management, was a very powerful and compelling proposition.”

As worldwide banks’ risk management practices are being scrutinized for being one of the key factors leading to the current economic crisis, more and more banks are looking to Aleri’s LMS technology to help them manage their future risk. With LMS, banks can achieve a holistic view of their payment systems and can:

• Decrease funding risk and operational costs by automating manual process of consolidating/reconciling liquidity information and as a result enabling banks to more efficiently identify liquidity issues and ways to address them.

• Dramatically increase forecasting accuracy to minimize funding costs and risks by gaining real-time, complete and predictive visibility of liquidity positions in all currencies and across all business units.

• Enable more informed cross entity and asset class funding decisions.

• Support operational liquidity risk measurement and control in real-time, as well as flexible stress testing modeling.

• Continuously optimize liquidity strategies and contingency planning through trending and behavior analysis.

• Enable internal and external liquidity charging based upon measured utilization and compliance to SLA’s.

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