Regulation

Data become a basic commodity for a sustainable customer relationship. At the same time your bank has to ensure high data quality and transparency as well as security. Increasing digitalisation, regulatoric changes and stricter compliance-guideline load great demands ion your business intelligence systems and data budget

adesso offers you professional specialists as well as business intelligence and IT specialists.This combination enables us to support you druing the whole life cycle of a business intelligence or business analytics project (BIA).

• Impact & Delta analyses, assessments, conceptual support - professional and technical
• Data management (data integration, data quality, master data management, data federation, data lineage, data virtualisation, Big Data)
• Data visualisation (analytics and their visual preparation)
• Data science
• Technical architecture and operation on basis of leading technology-stacks.

Your advantages:

• Risk reduction: Professional/Business Intelligence/IT specialists from a single source
• Security: Comprehensive branch, expert and technology knowlede of our experts
• Cost efficiency: Integration of adesso smartshore elements

Europe is setting the course for reporting with the ERF (European Reporting Framework) and the introduction of BIRD (Banks’ Integrated Reporting Dictionary) and SDD (Single Data Dictionary). By using the Analytical Credit Datasets (AnaCredit) as a cornerstone for this strategy, the ECB is working towards a central credit register (CCR) with the aim of improving the quality of analysis in the areas of banking supervision, financial stability, risk management, monetary policy and research.

adesso has many years of experience in implementing supervisory requirements and in the areas of data warehousing and software development. Together with our experts, you can prepare your processes for the requirements associated with AnaCredit:

• Analysis of the organisation, processes and infrastructure and evaluation of gaps in the collection and acquisition of data
• End-to-end process analysis for data supply and reporting, taking into account all of the relevant specialist systems (credit, pre-processing and reporting)
• Defining measures for establishing data governance and for optimising data consistency, data quality and the reporting processes
• Evaluating the impact on other supervisory requirements for banking, such as BCBS 239, MaRisk and CRR

In order to reinforce investor protection and make the market infrastructure more crisis-resistant, MiFID II and MiFIR legislation is coming into force within the European Union, along with the packaged retail and insurance-based investment products (PRIIPs) regulation. Banks need to perform analyses and determine the extent to which the comprehensive new regulations are applicable – the MiFID II rules alone contain 150 articles.

We help you to gain an overview of the impact that these regulatory requirements will have on your customers, processes, products, organisation and IT system. We use our precise analysis as a basis for determining the areas of activity for your company. We will work together with you to analyse and optimise your processes.

We act as an intermediary between your specialist department and your IT team and we develop a specialist policy, which we integrate into a business rule management system:

• Developing the target market criteria
• Analysing and optimising product governance
• Developing the logic for risk categories
• Identifying the ‘golden source of data’ for cost components
• Compliant delivery, including delivering the reports digitally

At many banks, the IT and data architecture is often not fully capable of comprehensively managing financial risks in the way set out by BCBS 239 (regulation number 239 of the Basel Committee on Banking Supervision). There are not enough opportunities to aggregate risk positions and concentrations of risk, neither at a group level nor across areas of business and group companies.

We work with you to set up a project to ensure that your systems are equipped to meet these challenges, which involves:

• Implementing a strategic, responsive IT system and minimising complexity.
• In future, new regulatory requirements can be integrated quickly and comprehensively.
• Use of active risk management to reduce risk and capital requirements.

Your advantages:

• Investments pay for themselves as a result of efficiency and effectiveness.
• By improving the quality of data, effective bank management for an equity capital strategy is established on a responsive database.

Those issuing structured financial products are faced with the challenge of creating key information documents (KIDs) for packaged retail and insurance-based investment products (PRIIPs) for all of their relevant products, in line with regulatory requirements. A KID is a document that provides a clear and concise summary of the most important information about an investment product and provides a structured description of the risk indicators, performance scenarios, cost structures and other features. In addition to creating these KIDs, financial institutions also need to establish processes for regularly monitoring and revising the documents. The main requirements for this are associated with the reliable monitoring of the relevant risk, performance and cost parameters that might call for the KID to be updated.

Our solution enables you to fulfil your regulatory requirements in relation to implementing the regulation on PRIIPs:

• A centralised, high-performance and highly available data repository for your financial products
• Real-time monitoring of performance data and risk parameters, such as CRM, MRM and SRI
• Cost reduction, risk minimisation and efficiency gains through using automated workflows
• KIDs are updated quickly on your website and the updates are passed on to your distribution network.
• Flexible data management and seamless integration of your internal and external sources

Is your financial institution one of the many firms whose preferred EUC application for data analysis is Microsoft Excel? Many banks underestimate the risks associated with manipulation and inconsistencies.

Our banking experts have developed a step-by-step concept that enables us to work together with you to identify and eradicate your compliance risks:

• Taking stock: Your Excel documents are analysed and inventoried. Using this as a basis, we can create an individual risk profile for every document.
• Analysis: For those documents with a high risk profile, we carry out a dedicated detailed examination. This addresses the confidentiality, availability, integrity and traceability of each document.
• Measures: We use the findings to put together a catalogue of action recommendations. Microsoft platforms are powerful compliance tools that have a centralised document management system. The recommended measures might include adapting Excel documents that have a high risk potential or creating guidelines and models for using Excel.
• Monitoring: Microsoft Audit and Control Management Server provides automatic monitoring and traceability.