Temenos (SIX:TEMN), the banking software company, today announced that it has added new functionality to its existing and extensive corporate banking capabilities.
Hybrid Pooling enables banks to offer detailed cash and liquidity management facilities to their corporate clients, maintaining full details of virtual, off-balance sheet accounts organized according to corporate needs, whilst also pooling all of the funds across currencies and entities. Such structures enable banks to offer flexible cash management services that are compliant with regulations whilst ensuring efficient use of capital.
As part of Temenos’ wider digital banking platform for corporate clients these new capabilities can be created, maintained and enquired upon directly by a corporate’s own staff via an intuitive graphical interface. This allows corporates to build and view structures including limits between the virtual accounts, but also to carry out all maintenance activities for the relevant accounts and initiate transactions if needed. Relationship managers within the bank have access to the same tools allowing them to provide support when required.
According to Kieran Hines, Head of Industries at Ovum, “Banks need to continue to evolve their offerings to meet the evolving needs of corporate treasurers. Some of this is in the area of frictionless interaction between the bank and its corporate customers, but banks also need to remember that their underlying back office processes and products also need to evolve. One of the key areas of focus is in the area of netting and pooling where the need for corporate treasurers to design and operate account pools across entities and currencies is always a high priority.”
More than 700 banks worldwide run Temenos T24 Core Banking, which combines rich functionality with cutting-edge technology in an easily upgradable application. Forty-one of the top 50 banks rely on Temenos to process the daily transactions of more than 500 million banking customers. Temenos was the first core banking provider to provide a full system on the cloud in 2011; Temenos continues to invest in the technology and cloud delivery mechanism with all products now delivered on the cloud and on premise. The API library offers all these banks an effective and secure way to work with third parties to enhance their customer offer and make their operations more efficient.
Adrian Hadley, Temenos Product Director, stated: “Temenos is an innovation leader with the highest level of R&D investment in the sector. Temenos has a long history of providing functionally rich and flexible corporate banking solutions to clients such as ABN AMO, Bank of Shanghai and Bank SinoPac; in recent years this scope has broadened to include newer challenger banks seeking to enter the market such as Judo Capital. This new functionality will help banks to enter the new era of corporate banking, providing a fundamentally better proposition to their clients in the area of cash pooling whilst also enabling a greater degree of self-service by corporate treasurers and thereby improving the attractiveness of their offering.”