Schroders Private Banking has chosen SunGard’s Ambit Liquidity Risk Management and Ambit Asset Liability Management solutions to support its ability to meet the UK’s Financial Services Authority stress testing regulations, as well as to enhance its instrument coverage and analysis capabilities.
The combined solution will be implemented in the bank’s service centre in Switzerland to support Schroders’ private banks in Switzerland, the UK, Guernsey and Singapore.
Schroders Private Banking decided to implement a centralised risk management solution in Switzerland to address its liquidity risk and asset liability management needs.
The bank selected SunGard’s Ambit solutions to help address ongoing regulatory change and perform liquidity risk management in accordance with local regulations.
In addition, the Ambit solutions will help Schroders Private Banking improve its balance sheet management, run stress tests, proactively manage its cost of contingent liquidity, and help enhance its instrument coverage while providing location-specific analysis capabilities.
Pierre-Louis Favre, head of finance and treasury at the service centre of Schroders Private Banking, says: “SunGard’s Ambit Liquidity Risk Management solution provides excellent functional coverage. With SunGard’s solution, we are now able to establish a centralised, multi-entity service out of Switzerland that provides individual liquidity risk and balance sheet management for our UK, Switzerland, Channel Islands and Singapore entities, helping them to identify and simulate strategies that minimize the cost of and exposure to liquidity risk.”
Andi Hug, general manager for SunGard’s Ambit risk and performance management business unit, says: “Lack of liquidity was one of the causes for the global financial crisis. SunGard’s Ambit Liquidity Risk Management solution helps banks to not only comply with industry regulations, but also focus on more rigorous stress testing and increasing transparency.”