Resona Bank and Saitama Resona Bank

Market Front System for Resona Bank and Saitama Resona Bank

One characteristic feature of the market front system implemented for Resona Bank and Saitama Resona is its capacity to manage real time positions across multiple products on a single platform. In addition to the state of the art mark-to-market valuation and risk measurements, development costs can be reduced while increasing maintenance efficiency through a substantial reduction of EUC tools.

Resona Bank and Saitama Resona Bank Resona Bank and Saitama Resona Bank

Background

With total assets of approximately JPY 43 trillion and a trust property of roughly JPY 23 trillion, Resona Bank and Saitama Resona Bank are two core commercial banks within the "Resona Group" and the fourth largest financial group in Japan. One of the banks' priority goals under its business strategy is to strengthen profitability "creating and enhancing new business opportunities with an eye towards the future changes." As part of these initiatives, the decision was made to upgrade the market front system that had been targeted for renewal, and upon comparison of multiple software systems, the banks selected SimplexPRISM.

Results

Management of Real Time Positions Across Multiple Products on a Single Platform

SimplexPRISM was implemented as a single platform to handle multiple products such as yen/foreign currency funds, CP/CD, listed derivatives, and OTC (including exotic) derivatives for front, middle, and back office users. In addition to the state of the art functions such as real time position and risk calculations, CSA, collateral management, and exposure management, the system also complies with the Japanese accounting regulations.

State of the Art MTM Valuation and Risk Measurement

The system calculates sensitivity against few hundreds of basic risks by utilizing the state of the art pricing and risk calculation logic which the latest OIS yields, tenor basis spreads, and cube volatility. A significant number of calculations can be processed by using Simplex's own distributed calculation platform on a relatively inexpensive server infrastructure. Operational conditions have been designed to allow for instant confirmation during the day for proprietary dealing positions, which can be flexibly set for each portfolio as well as the relevant figures for credit exposures in accordance with the management framework.

Reduced Development Costs and Increased Maintenance Efficiency by Reducing EUC Tools

In the previous system, thre were more than 200 EUC tools to support lacking functionlity in the previous system, and the low maintainability due its' complexity was becoming an issue. In addition to the coverage of a broad range of operations within the main functions, SimplexPRISM provided an EUC platform designed for various products and operations that can be more easily maintained. As a result, EUC tools have been reduced by approximately one-quarter, which contributed to reduction in development costs and increase in maintenance efficiency.

Relevant Products

Real Time Multi Asset Capital Market Solution

Capital market solution that covers a variety of market trading operations ranging from trading to risk management. SimplexPRISM supports over 200 types of products as well as advanced risk management functions such as PFE/CVA. The solution enhances the overall success of a client's business due to its ability to deal with multiple entity situations for global deployment.

Client Details

Name Resona Bank, Limited
Address 2-2-1 Bingomachi, Chuo-ku, Osaka
URL http://www.resona-gr.co.jp/resonabank/
Name Saitama Resona Bank, Limited
Address 7-4-1 Tokiwa, Urawa-ku, Saitama City, Saitama
URL http://www.resona-gr.co.jp/saitamaresona/
  • Telephone Inquiries

    03-3539-7370
  • Email Inquiries

    Inquiry Form

References in the Same Category

  • Risk Management System to Measure Broad Range of Risks

    Sector Banks
    Field Risk Management

contact

Telephone Inquiries

03-3539-7370

Email Inquiries

pagetop