Capital adequacy, regulations, CRD IV, CRR, CRD V, CRR II, Basel IV

Analysis

Deloitte Fluent Capital Adequacy

Software Solution

Deloitte Fluent Capital Adequacy is a modern, enterprise-class software solution developed to enable banks to deal effectively with the challenges posed by the current (CRD IV / CRR) and upcoming (CRD V / CRR II, Basel IV) capital adequacy regulations. Its functional design draws on learning gained from our experience in helping banks address challenges posed by the regulations. Its architecture brings modern technologies to the software platform which we have developed and successfully used to implement various analytical solutions for our banking clients.

Key Features

Flexible business parametrisation:
Appropriately set-up parameters resulting from the current CRD\CRR regulations, including national options.

Easily create new parametrisations or modify existing ones to assess impact of forthcoming regulation Quantitative Impact Study (QIS).

Perform effective “what-if” scenario analyses by running and comparing results of multiple calculations with different parametrisations.

Easily access all relevant regulatory parameters – no business parametrisation is hidden or hard - coded in the ETL process.

Very high performance
Have confidence that all calculation and reporting processes are finished within the allowed time window.

Quickly react to internal or external requests to re-run calculations or perform multiple “what-if” analyses.

Be able to run reports spanning across a long series of monthly results to observe trends.

Benefit from relatively low hardware costs

Transparency, auditability and security
Trace the calculation step-by-step for a selected exposure or entity, to understand and document how the final results were obtained.

Have all input and output data safely stored in the system for future reference.

Easily inspect and re-run historical calculations and reports.

Have no worries about losing any data used for regulatory reporting – the system automatically saves and securely stores all data and configuration parameters used by each calculation process.

Eliminate operational risks and stay compliant with applicable security procedures.

Multi-bank, multi-regulator
Calculate and analyse individual or consolidated capital requirements for entities within a capital group.

Define parameters for various regulatory jurisdictions to calculate capital requirements in accordance with national options (group consolidation).

Stress testing  support
Enables the user to analyse the bank’s future capital position assuming different stress test scenarios.

Regulatory reporting
Built-in Pillar III reports.

Rich data model covering COREP data points.

Possible integration with external COREP/XBRL reporting solutions.

A solution that matches your scale and needs
While the system architecture is ready to scale-up to very large data volumes, if data volumes are moderate it does not require the most advanced and expensive editions of third party software.

Relatively low hardware requirements while still providing high performance of calculations and reporting.

Coherent set of technologies, well-integrated components and easy technical administration.

Powerful reporting and data analysis
Enable business users to design their own reports and add them to the system.

Aggregate, slice/dice, drill-through and visualise data within seconds using a predefined CAD reporting data model 1.

Get even more thorough insight into the capital position and possible capital optimisation options by performing flexible reporting and dynamic data analyses.

Reliable and thorough support from the system provider
As well as software license, implementation support and post-implementation services, we can also provide business advisory services related to capital adequacy.

Pre-configured system in accordance with common requirements and assistance to address specific needs arising from local regulations.

Feel safe – if you get specific recommendations from the regulator, which are not covered by existing system parametrisation options, we are ready to implement any necessary software customization.

Deloitte Fluent Capital Adequacy Software Solution

To learn how Deloitte Fluent Capital Adequacy software solution can help you address challenges posed by capital adequacy regulations, download the brochure or contact us at: fluent@deloitte.com

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