Date post: | 29-Jul-2015 |
Category: |
Economy & Finance |
Upload: | primatics-financial |
View: | 19 times |
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Why do businesses invest in computers and software?
a. To allow bored employees to keep up with their friends via Facebook
b. To increase job creation by allowing online shopping during work
hours
c. To do business processes better, faster and cheaper
Business software exists in order to:
• Automate repeated tasks
• Smooth information flow
• Enhance capabilities
Quiz
Simply put, software’s raison d’etre is to allow an institution
to do business processes better, faster and cheaper. This
drives everything we do.
Stress Testing
• Growing banks with $10 billion in plans
o DFAST preparation
• Midsize banks (larger than $10 billion)
o Low hanging fruit phase
o More project than process
• Largest institutions (more than $50 billion)
o Looking to do things better
o Taking CECL into account
Workflow and Controls
• Generating model-based estimates as part of
a process
o Controls
o Aggregation
• Capture of human generated inputs
o Controls
o Efficiency
o Turning information into data
Data! Survey Says…
• Last year: 27 of 28 surveyed not satisfied with data and data
management
• This Year: 23 of 24 surveyed not satisfied with data and data
management
• February 2015 RMA Journal survey
o Majority of U.S. institutions surveyed disagree with statement that
risk data is “clean, comprehensive, accessible and timely”
o Highest level of concern about “difficult integration among systems”
o High level of concern about “lack of integrated risk and finance
reporting”
Despite heavy investment, data remain a challenge
nearly everywhere !
Common data challenges heard in the market
• Inability to do desired analysis because data
architecture does not support it
• Many sources for reports – inconsistent answers
depending on whom you ask
• Emailing, phone calls or other manual movement
of data
• Multiple sources for the same data elements
• Making data “application-ready” happens in many
places
• Etc…
Environment Makes List of Challenges Long
• Rapid changes
• Tighter regulation
• More complexity
• Increased demands for information
What is Evolv?
• Extensible platform
• Common components
• Purpose built for financial institutions
• Integrated risk and accounting
What is Evolv?
• All loans (securities)
• All the way from end to end
• All in one place – integrates finance and risk
All accounting standards
Stress testing
Forecasting
• Always – future proof delivery
Why an integrated platform makes sense
• Component-based architecture means
adaptability
o Example: CECL and FAS 5
o Example: Forecasting and stress testing
o Example: Manual review processes
• True integration of risk and finance
• True integration of processes and data store
Allows us to say “yes” without
starting from scratch!
Some recent things to which we’ve said yes
• New (proposed) liquidity coverage ratio reporting
requirements from Federal Reserve
o Life of loan cash flows for all loans and securities
o Run daily
• Participations accounting
• Enhanced forecasting of complex accounting
• Enhanced daily processing
• Performance reporting for LOB (including
spread)
What we’re working on…
• CECL
o Outreach
o Product is basically ready…but we know you’ll
challenge us!
• Integrated risk and finance workflow
• Tighter integration with operations
• Usability enhancements
• Enhanced forecasting