Owing to turbulent & volatile market environment, treasurers have to always remain on their toes. Treasurers should have definite answers to these questions:
Are you aware of market risks such as Currency, Interest Rate, & Price your company is exposed to?
Are you aware of impact these risks have on company’s bottom line?
Are you aware of funding cost the company is paying to manage business efficiently?
IBSFINtech’s Innovative Treasury™ Risk Management Solution is the solution to all the corporate treasury management worries! IBSFINtech’s Innovative Treasury™ automates processes, improves system transparency, enhances cash visibility and enables treasury department to focus on core decisions thus adding value to the organization. The product helps you crease out treasury pain-points and empowers your treasury department to take informed decisions.
Innovative Treasury™ Solution employs a modular approach which enhances scalability and customizability of the solution as per client’s needs. Key modules include:
Currency, Derivatives, Money Market and Commodities Modules
Features of each module are listed in below in detail
Currency Module enables tracking of all currency risks the organization is exposed to, right from the first step of the business cycle i.e. business orders, business contracts, borrowing of funds, hedging, export/import bill submissions, and till the time final payments are received.
Key characteristics of the Currency Module are:
Digital dashboard enabling real-time view of exposure. This exposure can also be segregated and viewed separately for company, dealer and currency.
Alerts and notifications to help avoid frauds by providing up-to-date information on Off-Market rates
Capability to monitor all risk parameters from single dashboard
Capability to define bench mark and measure MTM against the same
Real-time VAR Calculation
Monitor hedged vs unhedged portions and provide recommendations to ease decision making
Ensuring adherence to governing body guidelines
The derivatives module helps front-office folks in the organization to understand, monitor and track risk the organization is being exposed to because of FX derivative contracts.
Key characteristics of the Derivatives Module
Monitor Future & Option Contracts traded across all exchanges during their complete lifecycle
Monitor OTC deals finalized with banks.
Monitor MTM effect.
Enable premature cancellation or deal reversals in case of Forward Contracts.
Smooth reporting process providing access as well as generation of critical reports.
Integration with Currency Module enabling access to combined information from both the modules, thereby providing a holistic view.
This module is responsible for the Fund management function within the finance department of an organization. This module records all money market deals both borrowing and investments.
Key characteristics of the Money Module
Monitoring instruments such as Mutual Funds, Commercial Bill, Certificate of Deposits, Fixed Maturity Plan, Treasury Bills & Bonds.
Capability to record & track following in one dashboard.
treasury bills short term borrowings commercial papers
Manage FCY loans both pre-shipment and post-shipment loans.
Record and monitor.
maturity mismatch risks interest rate funding gaps
Track & monitor each transaction through dashboard till the end i.e. its maturity or
Capability to include all types of interest calculation such as 365/360, YTM, Zero Coupon.
The Commodity Module, as name suggests, is responsible for managing commodity trading needs of an organization. This includes trading across the globe in different exchange markets, in both physical and future markets. Also it captures all transactions including pulses, bullion or metal.
Key characteristics of Commodities Module include
Details of all the exchanges relevant for the organization
Capturing details of brokers as well as products
Capability to cater to both deliverable and non-deliverable contracts
Tracking & monitoring all deals, deal reversals
Tracking MTM in real-time
Capability to modify and redefine OTC trade options in real-time
Re-evaluate structures on the basis of criteria such as
Target value Target quantity Strike price
Capability to generate valuation and analysis daily based on LBMA rates for OTC bullions
Evaluate securities & margin on daily basis by using the day-end reports publlished Iby exchange as the reference
Apart from the above mentioned characteristics and capabilities of each module of Innovative Treasury™ Solution, here is the list of differentiators, why you should chose Innovative Treasury™ risk management product over other similar solutions available in the market:
Innovative Treasury™ Product it is a multi-currency, multi-company and multi-dealer platform that monitors dealer-wise, company-wise and group-wise exposure levels & performance.
It is designed with n-tier and object-oriented architecture, using the latest and market leading technologies – Visual Studio & Oracle. It can work on all the popular current operating systems like all the recent versions of Windows and Linux.
It can be seamlessly integrated with Bloomberg / Reuters terminals.
It is capable to function in isolation as a standalone package as it has its own full-fledged back office module as well in integration with third party packages such as SAP and other standard leading ERP packages in the market like Tally, etc…
Interface to the application through API / XML for legacy applications and CSV or Tab Delimited file for upload to their ERP / Accounting applications.
Alerts to top management through mail or SMS to mobile phones.
Built-in audit trails with time stamps and trace-back facilities of modifications of all masters and transactions. Information once captured cannot be physically deleted from the system.
Complete life cycle of a transaction from capture to settlement with minimum user inter vention and manifestation of the same in company’s Asset & Liability statement.
Facilitate implementation of the Company’s hedge policy, and to set stop-loss and take-profit levels.
Access to real-time reports and key statistics such as (this is not exhaustive list)Effective hedging with hedge policy deviation reportMonthly settlement report to monitor hedge effectivenessAverage effective rate with costing rate comparison reportOverall Gain & Loss ReportOutstanding deals with MTMFX Treasurer Deal SlipComplete delivery of Hedging ContractsAmortization of Forex deals
Talk to IBSFINtech’s Innovative Treasury™ Expert today to schedule a demo and leverage the benefits of a holistic, reliable, robust and expert treasury management solution.