Fund transfer pricing

A superior fund transfer pricing solution helps banks make better risk decisions.

To do fund transfer pricing (FTP) well, financial institutions need an IT solution that provides the tools and methodologies to make fund transfer pricing transparent and theoretically sound. The right solution must be able to measure net interest income contribution from an asset or liability over its entire life. It must be flexible and give financial officers the ability to evaluate customers, products and business units as well as other views of the organization. A superior solution will be easily integrated into other organizational tasks such as performance reporting, planning and interest rate risk management. When banks are seeking a highly effective fund transfer pricing solution, SunGard can help.

Learn more about fund transfer pricing solutions from SunGard, and about SunGard liquidity risk solution for managing asset liquidity.

SunGard’s Ambit BancWare Funds Transfer Pricing provides unparalleled functionality.

SunGard provides banks the world over with innovative IT solutions, including solutions for asset and liability management and liquidity risk management.

SunGard’s Ambit BancWare Funds Transfer Pricing (FTP) offers banks a highly effective platform with unmatched fund transfer pricing functionality. With SunGard’s solution, banks can more easily make decisions about customer, organizational and product profitability, as well as product pricing and resource and balance sheet allocations. All financial instruments can be transfer priced, which is important when transfer pricing instruments with complex behaviors, cash flows and attributes. Ambit BankWare Funds Transfer Pricing enables banks to apply transfer prices at the customer account level, giving institutions the ability to evaluate products, customers, business units and more. Ambit BancWare FTP can be fully integrated with other Ambit risk management software, enabling banks to use data more efficiently and achieve faster analytic cycles to improve decision-making.

Transfer price all funds and instruments with hundreds of pricing methodologies.

With Ambit BancWare FTP banks can:

  • Select from hundreds of available methodologies, including any number of fund transfer pricing rate table for yield curves and indices.
  • Calculate the fund transfer pricing rate based on the assignment of an index, cash flows until re-pricing or maturity, computed duration, and other criteria.
  • Assign different fund transfer pricing curves for liabilities and assets.
  • Support multiple currencies.
  • Calculate transfer pricing rates based on a original contract assumptions or on current state assumptions.
  • Determine multiple fund transfer pricing rates for each transaction.
  • Create alternative transaction behaviors to model cash flows for non-contractual maturity loans or deposits.
  • Assign prepayment behaviors to the transaction level and/or calculate a “break-funding” change or credit when an instrument has been prepaid.

Learn more now about SunGard’s fund transfer pricing solution as well as other solutions for earnings at risk. 

SunGard’s Ambit Risk & Performance Management solution provides banks with a suite of software to improve risk management for banking. An Ambit liquidity risk solution helps banks minimize the exposure to risk and the cost of liquidity risk. Ambit’s risk management solutions help banks to better manage risk-adjusted performance. Credit risk management solutions provide tools and intelligence for better lending decisions. Additional solutions help manage asset liquidity risk, provide tools for gauging return on equity capital, get an accurate view of return on risk capital (RORC), and help manage increasingly complex regulatory compliance standards.