Reliable and efficient liquidity management

The FlexFinance Liquidity solution from FERNBACH allows banks to simulate the impacts of changes in customer behaviour, market prices, default by important borrowers and, in particular, a deterioration of ratings via scenario-based analyses. Furthermore, the FlexFinance Liquidity solution optimises the possibilities of forecasting future liquidity situations and rectifying liquidity squeezes at an early stage – ensuring optimised liquidity management.

Counterbalancing capacity or the ability to overcome liquidity risks

The effects of changes in market parameters can be simulated for both the future liquidity situation of a bank and its counterbalancing capacity. Furthermore the FlexFinance Liquidity software allows banks to quantify counterbalancing capacity and thus estimate if a bank can bear future risks. To do this, the FlexFinance Liquidity solution examines a bank‘s potential countermeasures for an expected, future liquidity squeeze.

FlexFinance Liquidity provides:

• Efficient liquidity management by forecasting liquidity gaps using accurate, in-depth analyses.
• Assumptions can be used to develop diverse accounting scenarios, assess their effects on the liquidity situation and present liquidity costs.
• Counterbalancing capacity (CBC) can be determined and included in analyses.
• Flexible definition of portfolios and scenarios within the liquidity software.
• Individual treatment of various cash flow types.