Finastra was created as a result of a merger between Misys and DH Corporation (D+H) forming in this way the third largest vendor of technology solutions for banks and financial organizations in the world. The merged company Finastra provides services to more than 9000 clients in 130 countries worldwide, including 48 of the top 50 banks of the world.
The projects are aimed at deploying Fusion Risk, specialist software for the automation of asset and liability management, liquidity and transfer pricing control, and reporting procedures for international regulators in accordance with the Basel II and Basel III requirements.
Neoflex advisors implement projects aimed at automating IFRS9 requirements in Russia and abroad. The standard sets a new procedure for preparing financial statements in terms of financial assets and financial liabilities, as well as requirements to their assessment and impairment of value. In different countries of the world the standard becomes effective in different time, but already now such projects are among the most popular ones with regard to the automation of regulatory requirements.
Neoflex advisors provide automation services for the requirements of the Basel Committee preparing recommendations in the field of bank regulation. The main goal of Basel II is to improve the quality of risk management in banking operations and, as a result, it must enhance the stability of the financial system as a whole. The third part of the Basel Accord was developed in response to the flaws of financial regulation revealed by the financial crisis in late 2000s. Basel III strengthens the requirements to the bank capital and introduces new regulatory requirements with regard to liquidity.
Liquidity risk (LCR / NSFR)
Neoflex advisors implement projects aimed at automating the calculation of LCR and NSFR liquidity ratios in Russia and abroad. The liquidity coverage ratio (LCR) refers to the ratio of available liquid assets to the assessed net cash outflow during 30 days. Keeping of this index at the required level can ensure a short-term resistance to a decline in liquidity. The net stable funding ratio (NSFR) which is a long-term structural liquidity ratio is aimed at helping an organization adequately use stable long-term sources for financing less liquid assets.
Neoflex advisors implement projects aimed at automating the Funds Transfer Pricing method which is used as a tool for centralized management of the interest rate risk of banks reducing the sensitivity of business units to fluctuations in market rates. In the course of the project implementation it is necessary to take into account all specific features of the organization with regard to resource accumulation in one centre (for example, in the treasury) and their further redistribution among business units in order to support the liquidity of the domestic market.