Infosys Finacle has introduced the Finacle Asset Liability Management solution, aimed at helping banks manage liquidity and interest rate risks more effectively.
The solution provides an enterprise-wide view of both on- and off-balance sheet exposures. It will allow financial institutions to identify gaps, assess the impact on net interest margins and liquidity, and implement corrective measures.
Finacle is a cloud-native banking solutions provider under Infosys’s subsidiary EdgeVerve Systems.
The Finacle Asset Liability Management offering also enables banks to monitor a broad range of liquidity and interest rate risk metrics along with providing an aggregated view across multiple entities, geographies, and currencies.
This helps financial institutions to make more informed decisions regarding funding strategies, asset allocation, and regulatory compliance.
Equipped with advanced analytics and artificial intelligence (AI) capabilities, the solution features a cash flow engine that generates forecasts for contractual and behavioural cash flows.
It also supports strategic decision-making in areas such as balance sheet planning, liability mix optimisation, asset/liability pricing, and funding concentration regulation.
The solution includes stress-testing and scenario modelling functionalities, allowing banks to simulate and optimise key risk drivers.
These capabilities enable financial institutions to better anticipate and respond to market fluctuations.
Additionally, the solution is integrated with a regulatory reporting framework that includes a range of pre-configured reports aligned with Basel regulations to support compliance management.
Infosys Finacle chief business officer and global head Sajit Vijayakumar said: “With Finacle Asset Liability Management, we are equipping banks to navigate the global economic uncertainty and the complexities of liquidity and interest rate risk with unprecedented clarity and precision.
“Our solution offers a holistic view of exposures while providing financial institutions with intelligent capabilities and tools to manage risks effectively, streamline reporting, and enhance their risk modelling capabilities.”
