Abbey Financial Markets (AFM) is implementing Summit Systems' treasury and capital markets software to support its credit derivatives business.
The system will handle AFM's credit derivatives trades from booking through to operations. In addition to supporting existing non-credit risk products, the system will cover instruments such as default swaps, baskets and indexed trades.
The purchase is part of a restructuring programme at AFM that is aiming to create synergies across the business, improving STP and efficiencies.
AFM has been using Summit's technology since 1997, origanlly to manage interest rate derivatives and later to to cover fixed income front-to-back and commercial lending.
The bank says it is currently upgrading its existing Summit modules for fixed income to version 3.6 and will then start the implementation of the credit derivatives module to go live by Q1 2005. The deployment is being handled in-house.
Steve White, IT client manager, credit derivatives, AFM, says the Summit System also integrates well with its own models for exotics and structured trades processing and will allow staff to react more quickly in the face of larger volumes and growing complexity.
"The Summit trade capture screen will make the development of the credit derivatives business much easier with a single point of deal capture. In IT we find the system incredibly robust with an open architecture that is easy to integrate both up and downstream," adds White.