Help Us Help You Evolve Via R&D

Transcription

1 Help Us Help You Evolve Via R&D May 12, 2015 John Lankenau VP, Head of Product Management

2 Quiz Why do businesses invest in computers and software? a. To allow bored employees to keep up with their friends via Facebook b. To increase job creation by allowing online shopping during work hours c. To do business processes better, faster and cheaper Business software exists in order to: Automate repeated tasks Smooth information flow Enhance capabilities Simply put, software s raison d etre is to allow an institution to do business processes better, faster and cheaper. This drives everything we do.

3 Product Management Listen, Talk, Think, Build

4 What we re hearing

5 Reserving FAS 5 (with CECL glide path) IFRS 9 (and CECL) CECL

6 Stress Testing Growing banks with $10 billion in plans o DFAST preparation Midsize banks (larger than $10 billion) o Low hanging fruit phase o More project than process Largest institutions (more than $50 billion) o Looking to do things better o Taking CECL into account

7 Workflow and Controls Generating model-based estimates as part of a process o Controls o Aggregation Capture of human generated inputs o Controls o Efficiency o Turning information into data

8 Reporting and Analytics What happened? Why? Forecasting

9 Data! Survey Says Last year: 27 of 28 surveyed not satisfied with data and data management This Year: 23 of 24 surveyed not satisfied with data and data management February 2015 RMA Journal survey o Majority of U.S. institutions surveyed disagree with statement that risk data is clean, comprehensive, accessible and timely o Highest level of concern about difficult integration among systems o High level of concern about lack of integrated risk and finance reporting! Despite heavy investment, data remain a challenge nearly everywhere

10 Common data challenges heard in the market Inability to do desired analysis because data architecture does not support it Many sources for reports inconsistent answers depending on whom you ask ing, phone calls or other manual movement of data Multiple sources for the same data elements Making data application-ready happens in many places Etc

11 Environment Makes List of Challenges Long Rapid changes Tighter regulation More complexity Increased demands for information

12 What is Evolv? Extensible platform Common components Purpose built for financial institutions Integrated risk and accounting

13 What is Evolv? All loans (securities) All the way from end to end All in one place integrates finance and risk All accounting standards Stress testing Forecasting Always future proof delivery

14 Why an integrated platform makes sense Component-based architecture means adaptability o Example: CECL and FAS 5 o Example: Forecasting and stress testing o Example: Manual review processes True integration of risk and finance True integration of processes and data store Allows us to say yes without starting from scratch!

15 Some recent things to which we ve said yes New (proposed) liquidity coverage ratio reporting requirements from Federal Reserve o Life of loan cash flows for all loans and securities o Run daily Participations accounting Enhanced forecasting of complex accounting Enhanced daily processing Performance reporting for LOB (including spread)

16 What we re working on CECL o Outreach o Product is basically ready but we know you ll challenge us! Integrated risk and finance workflow Tighter integration with operations Usability enhancements Enhanced forecasting

17 How You Can Help Evolv Help You Talk to us Let us know if there s an initiative to change how things work Especially data projects Tell us if you agree or disagree with the way we think about addressing challenges Ask us questions Participate in pilots