Case Study – Integrated Treasury and ALM

Large Nordic Savings Bank Selects MORS as its Robust and Mission Critical Treasury and ALM System

One of the Nordics largest Savings Banks had been outsourcing their Treasury and ALM activities to third party consultants. As the bank grew, it adopted a strategy to bring much of this work back in house. Such a strategy is also preferred by the regulator as banks grow and become more significant.

The bank’s assets have doubled over the course of 5 years. This adds not only complexity to the operations of the bank, but also increased volume of Treasury activity. This in turn changes the requirements of the Treasury, both in terms of data, analysis, and reporting. It became obvious to the bank that they needed not only to bring Treasury and ALM practices in house, but also needed to invest in a robust Treasury and ALM system. The bank thus began a detailed evaluation of available solutions in the market, eventually selecting MORS.

MORS is an integrated Treasury and ALM system. It is based on a single central view of the bank’s data, at contract level. MORS customers are many and varied in terms of their business activities, so the solution is readily able to serve the needs of a traditional savings bank in understanding their entire Balance Sheet.

The bank’s requirements were clearly articulated. Their priorities centered around a Front-End tool for Treasury deals, mainly for the liquidity buffer, Interest Rate Risk (IRR), Interest Rate Risk in the Banking Book (IRRBB), and Liquidity Risk monitoring.

MORS is a modular solution the use of which can grow in-line with the growth and maturity of our customers. Each module of MORS is licensable separately, allowing customers to build combinations of functionality to precisely suit their needs.

Since the initial go-live of MORS, the banks has also chosen to buy and implement Value at Risk (VaR), and Net Interest Income (MII) forecasting. The bank is also currently implementing Treasury Management Back-Office.

The initial implementation has been ‘on-premise’ with integration to the bank’s Core Banking system and Bloomberg for market data. The bank is currently considering moving the solution to the Microsoft Azure cloud.

MORS is also available as a full SaaS solution.