Banks able to profit from limits management, enabling traders, treasurers and corporate bankers to act confidently within their risk appetite
Misys, the leading provider of financial services software, has launched Misys FusionRisk Limits to make it possible for financial institutions to see all exposures, breaches and limit utilisation across their entire operations. Traders, treasurers and corporate bankers can now act on complete and timely risk information.
FusionRisk Limits enables a significantly enhanced view of limits across trading and commercial banking, so that banks can achieve full visibility of exposures, limit utilisation and breaches, along with improved capital and funding consumption across the business.
Without this solution, traders and commercial bankers cannot draw exposures from multiple systems to get a consistent picture of counterparties and customers. With FusionRisk Limits, they can manage and control credit risk based on single view across multiple entities and global sector and country views. including direct integration with multiple (Misys and third party) trading and banking systems.
Axis Bank is an example of a bank that has benefitted from Misys FusionRisk capabilities. Misys provides Axis Bank with an enterprise-wide market risk system capable of integrating with multiple trading systems and consolidating all economic position information in a single place. It offers the bank a good platform to meet its needs such as VaR, Global Limits and compliance with internal model requirements.
“It is essential that all exposures are accurately tracked in a timely manner and stay within the banks’ agreed tolerance levels at all times”, comments Boris Lipiainen, Global Head of Product Management at Misys. “With FusionRisk Limits, risk managers, treasurers and corporate bankers can now fully understand exposures across the business. While de-risking their limit management operations, they can support pre-deal and strategic business decisions with confidence. Our solution is able to connect to any in-house or third-party software making it possible to compute and aggregate risk metrics from an individual trade all the way up to board-level aggregation.”
Banks can now reduce risk buffers in the knowledge of their exposures, allowing for more efficient utilisation of resources and higher returns on available capital. Any limits and breaches that may exceed the organisation’s tolerance can now be reported at once. Risk data aggregation and meaningful reporting are critically important to ensuring banks meet BCBS 239 requirements, so Misys FusionRisk Limits allows banks to demonstrate compliance.