2.4 About OFS Balance Sheet Planning Application Pack

OFS BSP Application Pack includes the following applications:

• Oracle Financial Services Analytical Applications Infrastructure: Oracle Financial Services Analytical Applications Infrastructure (OFS AAI) powers the Oracle Financial Services Analytical Applications family of products to perform the processing, categorizing, selection, and manipulation of data and information needed to analyze, understand and report on specific performance, risk, compliance and customer insight issues by providing a strong foundation for the entire family of Oracle Financial Services Analytical Applications across the domains of Risk, Performance, Compliance and Customer Insight.
• Oracle Financial Services Balance Sheet Planning: The Oracle Financial Services Balance Sheet Planning application is a packaged web-based application built on top of Oracle Financial Services Advanced Analytical Applications Infrastructure (OFS AAI). It is designed to enable financial institutions to budget or forecast a full balance sheet and associated interest income and interest expense. The provision of balance sheet and net interest margin planning capability, when combined with OFS AAI functionality for fee and expense planning and process management, results in a complete and comprehensive planning solution for financial institutions. The high-level features of Oracle Financial Services Balance Sheet Planning include:
  • Calculation of future projected cash flows for balance sheet products, including output of comprehensive balance, interest income/expense, and interest rate data elements.
  • The output of cash flow data for the current book of business is separate from future new business volume cash flows, with aggregation to total balance sheet account level.
  • Provision of broad balance sheet product support.
  • Creation of budgets or forecasts in denominated and/or functional currencies.
  • Provision of data entry/driver calculation tools to assist users with driver data generation.
  • Employment of market interest rate based pricing, where new add volumes and repricing balances are priced at spreads to market interest rate indices.
  • Provision of funds transfer pricing capabilities, integrating with and leveraging the existing Oracle Financial Services Funds Transfer Pricing engine. This functionality includes a full set of cash flow and non-cash flow-based Transfer Pricing methodologies, as well as the ability to generate transfer pricing adjustments such as liquidity premiums, pricing incentives, and other adjustments.
  • Provision of two-way integration with the Oracle Financial Services Asset Liability Management application.