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


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

Compliance with the current regulatory requirements

  • Fluent CAD offers extensive and flexible support for national options through configuration.
  • The whole calculation process is fully automated and performed within one software component (Fluent CAD); no need for manual corrections, eliminated operational risk.
  • Easy adjustment to future regulatory changes or specific business needs – in most cases no software modifications are required as the change can be implemented by setting appropriate parameter values.

Reporting – external and internal

  •    Fluent CAD provides you with a great reporting experience out-of-the box;
  •    Rich output data model and available management reports provide you with deep insight into your capital requirements.
  •    Chances are the report you want to have is already available in the system; you do not have to waste your time to create such a report.
  •    If you already have a reporting solution that generates COREP reports in XBRL, it will be easy to map the system to Fluent CAD’s regulatory data views; we provide a ready COREP mapping for one of such systems available on the market.

What-if analyses and stress-testing of capital requirements

  •    Fluent CAD provides a built-in mechanism for what-if analyses and stress-testing. You do not have to implement this functionality outside of the system.
  •     Fluent CAD provides a very flexible and powerful mechanism for defining stress-test scenarios inside the system. You can cover many types of stress-test scenarios and create your own scenarios.
  •     With Fluent CAD, you can perform multiple simulations in a relatively short time, due to highly optimized calculation engine and modern technologies. It is feasible to run many simulations even in a short timeframe.

Input data requirements

  •     Much easier and faster preparation of input data for Fluent CAD; faster and less risky system implementation.
  •     Easier post-implementation maintenance of the solution where the business logic is implemented in one place and not split between ETL and analytic software.
  •     Eliminated operational risk of business-logic errors at the ETL level.

Auditability and storing historical data

  •     Security and auditability of data and results.
  •      Full reproducibility of results for internal or external audit purposes.
  •      Fluent CAD enables you to easily compare historical results within the system (no need to rely on an external databases).

User Interface and User Experience

  •      Fluent CAD offers a much better user-experience; it is easier to learn how to use the system; users can perform their actions in the system faster and with lower risk of operational mistakes.

Infrastructure costs

  •      Lower implementation cost and maintenance costs of Fluent CAD than that of other comparable software solutions.

Business Advisory and provided software documentation for regulatory compliance experts

  •      By selecting Deloitte Fluent CAD as your software solution for capital adequacy you get business support from regulatory and IT experts to answer your questions and to support you in implementation.
  •      No more “black-box” approach; all calculations performed by Fluent CAD are documented in detail, so you can answer all potential questions about your RWA numbers.

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.

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