Belgium-based FinArch has added new functionality to its financial reporting software Financial Studio, to address the requirements of Basel II and International Accounting Standards (IAS).
The upgraded solution provides risk-weighted balance calculation for all assets and off-balance-sheet positions, resulting in aggregated risk-weighted asset values. The solution also adopts the risk weighting calculation by reference to either external credit assessment institutions' ratings or interal PD factors, says the company.
Operating within a single database environment, the system includes a credit mitigation routine with full audit trail capabilities for collateral portfolios, guarantees, credit derivatives and netting agreements. Extensive drill-down capability allows tracking and identifying sources of risk and areas of over-exposure.
Dirk De Beule, CEO of FinArch, comments: "By providing an early stage solution for Basel II and IAS within an integrated system, financial institutions will take a quantum leap in the preparation for these new regulations."
Buouyed by bank spending on compliance, the privately-owned group says it is on track to double revenues for fiscal 2002. For H1 2002, De Beule is claiming an order intake equivalent to three times the revenue reported for fiscal year 2001.