Where Banking Meets Markets Financial product distribution platform Business Accelerator for Treasury & Wealth Management Structured Products
WEALTH MANAGEMENT & FINANCIAL PRODUCTS DISTRIBUTION 2
CONTENT O5 ABOUT FinIQ 16 TRADITIONAL & O7 PRODUCT PORTFOLIO 17 HYBRID PRODUCTS INTEREST RATE O8 ORDER MANAGEMENT BASED INSTRUMENTS O9 ELECTRONIC LIQUIDITY 18 FOREIGN EXCHANGE INSTRUMENTS 1O CLIENT ACTIVITY 11 PRICING ANALYTICS 12 COMPLIANCE & CONTROL 13 POST TRADE LIFE-CYCLE 14 NEW PRODUCTS 15 EQUITY BASED INSTRUMENTS 3
4 FinIQ in a nutshell
ABOUT FinIQ FinIQ For Financial Products Distribution A proven solution for treasury, derivatives, investments, fixed income, structured products distribution, pricing, order management and post-trade life cycle management WM Sales (Wealth Management & Private Banking) TMU Sales (Treasury Marketing Unit & Corporate Sales) Retail Sales (Retail Branch Network, Remittance & Trade Finance) VERSATILE FUNCTIONAL COVERAGE Banking Flow Treasury Non-flow FinIQ is a packaged software product company headquartered in Singapore and branches in India, Hong Kong, Malaysia, Australia, Taiwan, Thailand and the UK. We are a production-proven platform, having worked with 30 banking groups and over 80 of their banking units after we first went live in 2003. We connect seamlessly with core banking, treasury risk, accounting, client master, login security, e-commerce, regulatory, data warehousing and other systems to give an integrated platform. We offer on-premise software licenses based on Microsoft web technologies. In 2014, we also launched our SaaS offerings and have already gone live with two large clients. We offer sales and distribution platform for banking, treasury and wealth management products. While most financial market applications are built for traders, FinIQ is one of its kind platform that is designed to be a sales platform with support for fully configured financial products. Linear OTC Customer-designed In-house Conventional Non-Linear Securitised Off-the-shelf Third Party Structured Having established itself in the market-linked OTC and investment products, to make its offerings more holistic, FinIQ further added fixed income bonds, deposits, retail and commercial FX, cash equity and mutual funds. Today we take pride in being one of the only live end-to-end multi-asset platforms that reach retail bankers, traders, operations and very soon the end-clients. 5
CROSS ASSET ORDER BEST INTEGRATED 6
MANAGEMENT PRICE EXECUTION BACK OFFICE We offer model-bank implementation option which comes with 50 popular products and 10 common workflows pre-configured, ensuring significant time-to-market advantage over our peers. 1. Trading Distribution Mass market distribution for retail, wealth, private & corporate banking Commercial FX & Forwards Retail Branch FX Sales Dual Currency Investments Fixed Income and Bonds Retail Structured Products Equity Linked Notes & Investments Mutual Funds and Unit Trust Interest Rate Swap, CDS, Equity Swap FX Options, Exotics and Accumulators 2. CRM and Private Wealth Customer financial planning and portfolio management Client Wealth Planning Client Order Management Client Portfolio Accounting 3. Trade Execution Platform Multi dealer best price execution with leading market makers EQ Connect for Equity Structured Products (SaaS-based) FX Connect for FX Structured Products FI Connect for Fixed Income Bonds 4. Standalone Trading Tools Asset-class agnositc modules with API support Suitability Check Engine Documentation Engine Mid-life Payout Engine Product Ideas Communicator Product Catalogue Management Pricing and Mark-to-Market Engine Volatility Surface Analytics User Configured Products Generic Monte Carlo Pricer 5. Transaction Support Middle and back office modules with business workflow support Cash Equities Processing and Billing Corporate Action Entitlements Processing Treasury Collateral & Margining PB Collateral & Margining Trade Warehouse & Regulatory Reports Consolidated Client Statements General Ledger and Accounting Structured Product Fixing and Life-cycle Events SWIFT, Settlements, Share Delivery, Payment Integration 7
ORDER MANAGEMENT END-TO-END AUTOMATION OF SALES & DISTRIBUTION Electronic pricing, negotiation and order capture replaces manual workflows, improving efficiency and reducing data errors. Distribution reach can now be increased due to the ability to offer lower minimum trade size, greater product flexibility, expanded geographical scale meeting investment and risk management needs of all client segments. Order Capture Approval Workflow Product Catalogue Search Engine Access Control Validation Rules Financial Amendment Cancellation Pooled Orders Order Placement Form Settlement Instructions Add-On Order Hedge Trade Book Building Order Watching 8
Online hedging of client orders with leading market makers is made possible thereby reducing exposure to price movement risk. Clients can now be offered more competitive prices due to the guarantee of best price execution and also due to the fact that distributors don t require a market movement buffer in their prices as quotes are real-time. Clients can be offered tailor-made instruments to their liking as there is no human intervention in the price discovery process. Liquidity via FIX Protocol 6 FX Options Suppliers 7 EQ Derivatives Suppliers Email Based Alternative Timed Quotes Streaming Quotes Online Execution Willing Buyer Choice Willing Seller Choice Thresholds & Rules Best Price Logic Quote History ELECTRONIC LIQUIDITY BEST PRICE EXECUTION WITH LEADING MARKET MAKERS 9
CLIENT ACTIVITY IN-DEPTH INFORMATION AT A BUTTON S CLICK A holistic perspective of the client relationship helps Sales Desk get a 360 0 view of the client profile. Clients can make informed decisions while investing since they get access to the most up-to-date facts. Sales Desk can better target products at clients taking into account their needs as well as intentions, leading to improved customer service and timely regulatory compliance, driving up client satisfaction and business sustainability. Orders Placed Deals Done Documents Sent Recommendations Products Offered Products Permitted Profitability Products Liked Changes in Profile Upcoming Events Upcoming Maturities Contact & Addresses Coupons Expected Portfolio Allocation Portfolio Composition KYC Parameters Position, Risk & P/L Settlement Instruction 10
Live market feed Solvers Clients often demand tailor-made products as against a set of pre-defined catalogue of products. Ability to price such products via market data-linked pricing models complemented by smart solvers that suggest product parameters for client specified target helps establish a niche. Clients can now find specific solutions for their specific needs instead of buying without choice from a limited range of products. Volatility Surface Yield Curve Indicative Price Grid Dealable Prices Smart Spreads Sensitivities Hedge Management Simulation Pricing Multiple Underlyings Schedule Generation RFQ workflow PRICING ANALYTICS Coherency Checks Proprietary and Commercial Pricing Models SOLUTIONS FOR TAILOR-MADE FINANCIAL INSTRUMENTS 11
Compliance rules involved in selling structured products are constantly evolving and the ability to configure these ever-changing rules significantly impacts banks time-to-market objectives. The system automates suitability, KYC, product promotion, OTC collateral, trade approval, inbound and outbound documentation, best price execution, reporting and many such compliance functions via a configurable framework. Framework Based Client On-boarding, KYC Suitability Rules Documents Signed Revision Cycles Product Validations Risk Scores Approval Workflow Credit Check Collateral, Limits COMPLIANCE & CONTROL FUTURISTIC COMPLIANCE TO DO BUSINESS WITHOUT FEAR Allocation, Composition Correspondence Audit Future-Proof Termsheets 12
POST TRADE LIFE-CYCLE STRAIGHT-THROUGH-PROCESSING WITH REDUCED COMPLEXITY REDUCED COMPLEXITY STRAIGHT-THROUGH- Servicing a trade after it is booked involves numerous processing events including market-linked fixings, coupons, callbacks, exercises, barrier and target checks, margin calls, accruals, compounding, corporate actions, advice printing, notifications, payments, accounting entries which are now fully automated resulting in much lower processing costs per trade, lower operational risk and significantly improved customer service. Rule Based Framework IR, FX, EQ, CO Fixing, Exercise Barrier Watch Corporate Action Confirmations & Advices Notifications Coupon, Accruals General Ledger Payment SWIFT Redemption Taxes, Fees Transfer, Split Statements Cash, Physical, Quanto 13
NEW PRODUCTS INNOVATION TO ACHIEVE FASTEST TIME-TO-MARKET FinIQ s user-configured products (UCP) framework allows on-the-fly creation of new financial instruments as well as modification of existing product features. Product payoff, campaign parameters, sales commission scheme, optionality rules, derivative clauses, fee structure, coupon and accrual rules, event schedules, business validation, order aggregation, suitability, pricing links, documentation and trade capture layout can be easily configured using the UCP toolkit. Extremely aggressive time-to-market targets can now be met for products ranging from funds, UT, deposits, notes to complex OTC derivative instruments. Multiple Asset Classes Full Trade Life Cycle Pre-Packaged Products User Configured Products Product Design Toolkit Customizable Layouts Payoff Language Validation Checks Document Templates Termsheet Templates Workflow Designer Various Underlyings Reusable Components Pricing Model Links 14
Equity linked products are either packaged as note securities or offered via a request for quote workflows. The pricing can be done in-house or by a third-party. FinIQ supports products ranging from OTC options to bull ELN, accumulators and baskets. The system also allows definition of customized payoff products with OTC, deposits and note wrappers. Entire life cycle from price discovery, termsheet, order pooling, order fulfillment, allocation, collateral calculation, limit check all the way to fixing, coupon and redemption is automated along with full audit-trail and online monitoring. The system supports over twenty different corporate actions. OTC Option Barrier Option Accumulator Decumulator Equity Swap Equity Linked Investment Equity Linked Notes Quanto ELN KI, KO, Autocall Basket Bull ELN Daily Range Accrual Fixed Coupon Notes EQ Booster Notes EQUITY BASED INSTRUMENTS FinIQ PRODUCT COVERAGE 15
TRADITIONAL & HYBRID PRODUCTS FinIQ PRODUCT COVERAGE FinIQ supports most traditional products such as deposits, loans, insurance, gold lending, unit trust, share margin finance and other securities. Workflows in traditional products often get tangled due to real-world considerations such as re-investment, early withdrawal, funding cost, installment payments, past due settlement, fees, brokerage, commission, transfer, split, delivery, takeup, drawdown and many such features. These workflows again vary considerably for retail, corporate, commercial and wealth management segments, but are still managed elegantly by the FinIQ workflow management platform. Mutual Funds Unit Trusts Exchange Traded Funds Certificates of Deposits Insurance Banking Deposits Gold Lending IPO Financing Banking Loans Equity Cash Besides FX, equity and rates linked derivative products and traditional products, FinIQ also offers hybrid structured products via its user-configured products (UCP) framework which is an unparalleled product platform. 16
FinIQ s interest rates module supports all three categories of instruments - bonds, swaps and notes. More advanced structured deposits or notes can be structured via a totally configurable payoff definition engine which not only facilitates order management but also undertakes the entire post trade life cycle. The system handles workflows for confirmation, coupon advice, inbound document, SWIFT payments, amortization, valuation, collateral, margining, accrual, coupon, maturity, early redemption, accounting and many such post trade processes. For custom-made products, the system allows payoff specification with complex algebra, combination of different frequencies and holiday conventions, if-then-else rules, market inputs, memory effects, alerts and watches. Government Bond Corporate Bond Perpetual Bond Callable Bond Bond Option Floating Rate Note Interest Rate Swap Cross Currency Swap Credit Default Swap Total Return Swap Inverse Floater Forward Rate Agreement IR Swaption Overnight Index Swap Credit Linked Note INTEREST RATE BASED INSTRUMENTS FinIQ PRODUCT COVERAGE 17
FOREIGN EXCHANGE INSTRUMENTS FinIQ PRODUCT COVERAGE FX Spot Limit Order From retail cash FX to complex multi expiry, multi underlying option strip, FinIQ supports the whole range of FX based products. The functionality includes pricing, liquidity, order management, collateral calculation, limit check, deal capture, middle office, back office, fixing, documentation and accounting. FinIQ also offers comprehensive volatility surface analytics, live market feed and links to top market markers. FinIQ s Option Strip design tool allows creation of re-usable structures and strategies that can be booked as ready-to-use packages hiding all complexities of their respective building blocks. FX Forward NDF FX Swap Time Option FX Option Barrier Option Digital Option Accumulator Target Redemption DCI DCI Barrier Triple Currency Tower Deposit Commodity Linked 18
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Singapore Taiwan Malaysia Hong Kong 30, Raffles Place, #23-00, Chevron House, Singapore, 048622 29th fl., 68, Sec. 5, Zhongxiao E. Rd., Xinyi District, Taipei, Taiwan(R.O.C) Block-J-05-13A, Solaris Mont Kiara, No.2Jalan Solaris, 50480 Kuala Lumpur. Malaysia Unit 856b, Level 8, Two Exchange Square, 8 Connaught Place, Central, Hong Kong India UK Australia 617, Siddharth Towers, Bldg-I, Sangam Press Road,Kothrud, Pune, India (411038) FinIQ Solutions Limited 55 Old Broad Street,London, EC2M 1RX United Kingdom Level 28, 303 Collins Street, Melbourne 3000, Victoria, Australia Thailand FinIQ Consulting (Thailand) Co., Ltd. No. 1-7 Level 9 Suite No. 0904 Zuellig House Building,Silom Road, Silom, Bangrak, Bangkok 10500 Thailand 20 www.finiq.com info@finiq.com