CorrRisk - a global counterparty and country risk management software

Our solution CorrRisk is a Global Counterparty and Country Risk Management software to approve, monitor and syndicate exposures for direct/indirect Trade Credit Risk.

CorrRisk provides:

  • Global enterprise-wide Trade Risk consolidation that allow banks to have an accurate and real-time view of their country and correspondent bank exposures.
  • Flexible and robust features that enable banks to perform Risk Mitigation while managing and tracking profitability associated with every transaction.
  • Standard and streamlined workflows that improve the efficiency and control of the bank's Trade Risk business.
  • Strategic risk and market information for decision and makers.

CorrRisk has been deployed globally by some of the largest global banking institutions and is in use as a 24 x 7 x 365 mission critical application. The solution has the flexibility to support various business models from the "Follow the Sun" approach, where the risk portfolio is passed between several trading / approving units in different regions based on their business hours, to a centralized approach while still providing full access to the entire global branch network to facilitate the origination of new deals.

CorrRisk allows banks to maximize utilization of Correspondent and Country limits by eliminating inaccurate / overstated Trade Risk data while monitoring fees and income associated with the deals.

CorrRisk is a proven solution used by large banks with a global / regional presence.

  • Provides Global Control and Reporting of Trade Credit Risk.
  • Excellent tool for effective decision making.
  • Web-based Intranet N-Tier application designed specifically for the Front and Mid Office Risk and Relationship Managers.
  • Enterprise-wide Trade Risk Consolidation and Management solution that allows banks to have an accurate global view of the country and correspondent bank exposures.

Support for all Stakeholders that Manage the deals and exposures:

  • Financial Institution Sales & Front Office
  • Commercial Banking and Trade Finance Operations
  • Risk Approval
  • Risk Distribution
  • Risk / Credit Limit Management
  • Audit and Security

CorrRisk allows multiple subsidiaries of the Bank Group to use one application for management of their Trade Credit Risk Exposure, and provision of consolidated report generation of Limits, Exposure, Income, Expense, etc. at the Bank Groupís management level.

Active Credit Portfolio Management Features:

Helps expand business opportunities by eliminating overstatement of limits through:

  • Dynamic Transaction updates via Back Office Integration
  • Cancellation of Transactions and Sales Inquiries when the Validity of Approval period / date provided for these records expire without the deal getting booked in the application.
Limit Definition and Checking Features:

Supports the comprehensive and flexible limit structure for definition and management of the Country and Correspondent Bank limits.

Supports setting up of additional limits such as:

  • External commitments by Risk Buyers / Investors (Contingent Risk Underwriter and Insurance Scheme Limits)
  • Portfolio Limits
  • Temporary Limits
  • Limit Reservations
  • Lent / Borrowed Limits
  • Small Amount / Pool Limit Facility for Correspondent Banks

Checking of limit amount excess and limit tenor excess is performed on a run time basis through the use of a strong robust engine to ensure that exposure (amount and / or tenor) cannot be taken on to be > the approved limit allocated amount and / or limit tenor bucket.

Risk Distribution Features:

Provision of flexible and robust features that enables the banks to perform sale of assets (Risk Mitigation / Participation) and purchase of assets in the secondary market while managing and tracking profitability associated with the assets / transactions.

Helps optimize Transaction and Portfolio Level RAROC through integrated Risk Distribution for mitigation of risk (purchased in the primary of secondary market) on an Unfunded or Funded basis in the secondary market through Insurance, Participation, Guarantee, and other Risk Enhancement Products.

Risk Distribution Features Continued:

  • Insuring of risk through brokers to underwriters based on risk appetite of the underwriters.
  • Runtime calculation of Risk Distribution Skim Amount.

MIS Features:

CorrRisk provides enterprise wide MIS Reporting with PDF and MS Excel output such as:

  • Financial Institution Sales & Front Office
  • Commercial Banking and Trade Finance Operations
  • Risk Approval
  • Risk Distribution
  • Risk / Credit Limit Management
  • Audit and Security

Generated reports can be saved (by the user) for future usage / referral. These reports can be backed up as a part of the DBR (Disaster Recovery) strategy.

Information Management Dashboard that provides a graphical representation of current and historical Exposure, Income, and Expense data on a run time basis and based on various selected dimensions.

Security Features:
  • Extensive Password Definition Policy and its applicability.
  • Integrated logon to CorrRisk through MS Windows Active Directory authentication.
  • Maintains a complete audit trail of actions performed by a user (along with date and time of actions performed) on deals and all other limits and setup data in the application.
  • Compliance features would be provided in the application in the future to flag on suspicious / fraudulent deals through the matching of deal info. with any part / item of the restrictions list / items issued by the regulatory authorities, such as OFAC list, etc.
Other advanced features of CorrRisk include:
  • Straight Through Process (STP) / Auto Approval of Deals mechanism.
  • Exposure modeling over time.
  • Multi lingual support.
  • User profile based application display settings.
  • Revenue tracking and alerting the user if income fee being charged on the deal is < the standard or minimum income fee pricing requirement of the bank.
  • Generation of notification messages and their display as alerts about the actions performed on deals within the application.
  • Online integration with Back Office and any other applications.