Infinity Software to Help Manage Collateralization of OTC Derivatives
NEW YORK, April 20 /PRNewswire/ -- Infinity, A SunGard Company, today
announced that Commerzbank has licensed Panorama Collateral, a new module from
Infinity, for collateral management in OTC derivatives trading. Panorama
Collateral helps organizations mitigate credit risk by managing the process of
calling and pledging collateral to cover credit exposure.
Commerzbank will use Panorama in its credit and operational risk
departments to manage credit risk as it grows its collateral management
business from 35 to over 150 agreements in the next eighteen months.
Commerzbank licensed the software in the fourth quarter of 1999.
Implementation of Panorama Collateral for 15 users in Frankfurt, London and
eventually Dublin is underway.
Dr. Martin Schorn, project manager said, "With the volume of
collateralized business exploding on a global scale, we need a system that
allows us to process more collateral agreements, use a wider variety of
collateral types, and manage these trades on a global basis. Panorama
Collateral gives us the functionality we need and will enhance the bank's
competitiveness through more effective management of our global collateralized
business."
Panorama Collateral automates and supports the complex process of
evaluating collateral calls. The software's comprehensive tracking of
collateral enables organizations to realize additional trading revenue through
rehypothecation -- the use of surplus assets. It also allows financial
institutions to keep credit lines open for trading with higher and lower rated
banks.
The International Swaps and Derivatives Association's 1999 Collateral
Review found "The collateral function should be structured so as to minimize
operational risk. Extensive process automation and the implementation of a
rigorous control environment are critical."
Matthew Snape, manager of Collateral Sales, said Panorama Collateral is
designed to help protect against operational risks involved in
collateralization. He said, "Commerzbank will use the new version of Panorama
Collateral that was launched this month. This version includes valuable
modules for Credit Support Annexes, reconciliation and application program
interfacing, as well as workflow enhancements that streamline and simplify the
co-ordination and processing of calls while ensuring a high level of security
and authentication."
About Commerzbank
With group balance-sheet assets total of 519 billion DEM and funds at risk
of 26 billion DEM, Commerzbank is one of Germany's Big Three private-sector
banks in Frankfurt. As a German universal bank, it is engaged in both
commercial and investment banking activities. Commerzbank pursues an
earnings-oriented business policy; it sees potential for expansion above all
in international financial business, in asset management, and also in the
development of new sales channels, including cross-border arrangements.
Outside Germany, the bank primarily focuses its business operations on Western
Europe and North America.
About Infinity
Infinity, A SunGard Company, provides enterprise software solutions for
financial trading, risk management and operations. Infinity customers include
banks, asset managers, corporate and government treasuries of every size,
geographic reach and operational complexity. Infinity identifies emerging
standards early on and delivers innovative, modular, adaptable solutions and
enabling technologies. Infinity facilitates client success, mitigates
technology risk, and delivers rapid "Time-to-Value" through Infinity
Professional Services, providing application implementation and integration
consulting. Infinity, A SunGard Company, is an operating unit of SunGard.
Infinity can be reached at http://www.infinity.com .
About SunGard
SunGard (NYSE: SDS) is a global leader in integrated IT solutions and
eProcessing for financial services. SunGard is also the pioneer and a leading
provider of high-availability infrastructure for business continuity. With
annual revenues in excess of $1 billion, SunGard serves more than
10,000 clients in over 50 countries, including 47 of the world's largest
50 financial services institutions. Visit SunGard at http://www.sungard.com.
Trademark Info: SunGard, Infinity, the Infinity logo, Panorama, and
Panorama Collateral are trademarks or registered trademarks of SunGard Data
Systems Inc. or its subsidiaries in the U.S. and other countries. All other
trade names are trademarks or registered trademarks of their respective
holders.
SOURCE Infinity, A SunGard Company
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Related links:
http://www.infinity.com
Company News On-Call:
http://www.prnewswire.com/comp/115467.html or fax,
800-758-5804, ext. 115467
CONTACT:
Adriana Senior of Infinity, 212-317-7489, or
adriana_senior@infinity.com
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